Hyundai Motor to invest $479 million in Malaysia

Hyundai Motor Co. said on Tuesday that it plans to invest $479 million in Malaysia over five years, starting in 2025.

The South Korean automaker stated that it will collaborate with its local partner, Inokom Corp., to manufacture Hyundai's multipurpose vehicle (MPV) Staria minivan on a complete knock down (CKD) basis beginning in mid-2025.

Production will start with 20,000 units annually, with plans to increase output and add mid- to large-sized SUVs and MPVs from Hyundai and Genesis.

The company said it will initially focus on internal combustion and hybrid electric vehicles (HEVs) before transitioning to electric vehicles (EVs) in response to Malaysia’s green policies.

Hyundai Motor expects about 30% of the vehicles produced to be exported to Southeast Asian markets, with the remainder sold domestically.

The automaker also plans to support Malaysia’s EV ecosystem by promoting EV sales, building charging stations, and constructing battery manufacturing facilities.

Write to Jin-Won Kim at jin1@hankyung.com