Hyundai Motor ties up with CATL to reinvigorate China market with EVs

BEIJING -- Hyundai Motor Co., South Korea’s top carmaker, has joined hands with Contemporary Amperex Technology Co. (CATL), the leading global battery manufacturer, to recover its ailing business in China with customized eco-friendly models for the world’s largest automobile and electric vehicle market.

Hyundai Motor Group’s key research center in South Korea is developing EVs tailored for the Chinese market in partnership with R&D units in Beijing and Shanghai to introduce various new models on the mainland from 2025 to 2027, the automaker said on Thursday.

Beijing Hyundai Motor Co., the 50-50 JV between Hyundai and China’s BAIC Motor Corp., signed a memorandum of understanding with CATL to cater to China’s new energy vehicle (NEV) market and enhance Hyundai Motor’s competitiveness in electrification in China at the Beijing Auto Show.

“We aim to secure excellent product competitiveness for developing localized EVs in China by combining Hyundai’s electrification technology and CATL’s battery technology through more cooperation with the leading Chinese battery maker,” said Hyundai Vice President Oh Ik-Kyun, who handles the company’s business on the mainland.

“We plan to launch localized EV models by stages from next year to 2027, building up a customized EV lineup to meet demand in the Chinese volume NEV market.”

Hyundai already teamed up with BAIC to debut a new EV brand specifically tailored to China, betting on clean vehicles to restore its glory there following tumbling car sales in the country.

TO INTRODUCE IONIQ 5 N IN H2

Hyundai showcased the IONIQ 5 N – its first all-electric high-performance model under its N brand – at the 2024 Beijing International Automotive Exhibition. The fully electric performance vehicle is scheduled to hit Chinese roads in the second half.

The company introduced the N brand in China in April 2023 by launching the Elantra N, the high-performance version of the compact car.

“The N brand has successfully settled in China over the past year, gaining popularity among local customers,” Oh said. “Hyundai aims to make inroads into the Chinese high-performance electrification market through the IONIQ 5 N while continuing its unique electrification strategy.”

The automaker plans various marketing campaigns for more customers to experience their cars' driving pleasure and high-performance technology.

Hyundai will give customers in China the opportunity to drive high-performance N-branded vehicles on the track through circuit experience events called Track Day. The company will also offer test drives at the N Lounge in Shanghai, the first experience hub dedicated to the N brand outside South Korea.

In addition, the company plans to host a global online motorsports race with a schedule to hold the final in Beijing in the second half.

Hyundai’s premium brand Genesis also introduced the Magma lineup, the luxury models’ high-performance trims.

The automaker unveiled the Magma, its answer to the Mercedes-Benz AMG lineup and the BMW M models, ahead of the New York International Auto Show in March.

“The Genesis Magma expresses our determination to expand Chinese customers’ driving experience into newer areas,” said Lee SangYup, chief of the Hyundai Design Center, who leads the Hyundai Genesis Global Design Division.

SANTA FE, TUCSON

Hyundai introduced the all-new Santa Fe and the new Tucson to strengthen its sport utility vehicle (SUV) lineup in China. The company unveiled the Mufasa, a strategic Chinese model, last year.

The all-new Santa Fe came five years after the release of the fourth-generation model in the Chinese market in April 2019. The company plans to launch the steady-selling mid-size SUV in the second half.

The new Tucson to be launched in the mainland in the first half has been tailored to meet the preferences of Chinese customers who favor larger vehicles.

It features a 30 mm expanded length, allowing a spacious interior with 4,670 mm of length and a 2,755 mm wheelbase, enhancing its market appeal.

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

Jongwoo Cheon edited this article.