Hyundai Motor Breaks Ground on New Hydrogen Fuel Cell and Electrolyser Plant in Ulsan, South Korea, with an Investment of 930 Billion Won

Hyundai Motor recently held a groundbreaking ceremony for its new hydrogen fuel cell production plant in Ulsan, South Korea. With a total investment of 930 billion won (approximately 46 billion yuan), the plant is expected to be completed in 2027. Once operational, it will mass-produce 30,000 fuel cells and PEM electrolyzers annually, marking a key step in Hyundai Motor's efforts to position South Korea as a global leader in the energy transition.

Hyundai Motor Group Vice Chairman Jaehoon Chang attended the groundbreaking ceremony, along with South Korea's Minister of Climate, Energy and Environment Seung-Hwan Kim, Vice Minister of Trade, Industry and Energy Moon Shin-hak, several members of the National Assembly, and Ulsan Mayor Doo-gyeom Kim, among other local officials. Their participation underscores hydrogen's importance as a national strategic industry and the strength of public-private cooperation. International hydrogen industry leaders were also invited, including Hydrogen Council CEO Ivana Jemelkova, who visited South Korea specifically to attend the 2025 APEC CEO Summit in Gyeongju.

In his opening remarks, Vice Chairman Jaehoon Chang stated, "This plant embodies Hyundai Motor Group's strategic commitment to advancing the transition to a hydrogen society. It will serve as a crucial foundation for securing national economic growth drivers and establishing South Korea's leadership in the global hydrogen industry."

The new plant covers an area of 43,000 m² and is located on the site of Hyundai Motor's former internal combustion engine transmission factory. This symbolic transition highlights Hyundai's strategic shift toward future mobility. Upon its planned completion in 2027, the plant will integrate material processing and assembly operations, operating under Hyundai Motor Group's HTWO brand, with an annual production capacity of 30,000 fuel cells.

The 930 billion won investment will support the production of next-generation hydrogen fuel cells and electrolyzers for various mobility applications, including passenger cars, commercial trucks and buses, construction equipment, and marine vessels. In terms of core technology advancement, the plant aims to establish Hyundai's position at the forefront of global hydrogen technology through two key products: first, a new generation of hydrogen fuel cells targeting improved power output and durability compared to existing car models, along with enhanced price competitiveness to lead the global market; and second, PEM electrolyzers, which will mark South Korea's first domestic production of high-efficiency polymer electrolyte membrane electrolyzers.

Hyundai Motor stated that improvements in fuel cell technology, durability, and cost competitiveness are expected to help the company achieve its goal of global market leadership and contribute to the global clean energy transition.