Hyundai is America’s EV future.

Hyundai has many vehicles in rural Georgia. in October A major South Korean car company has opened a new electric car factory west of Savannah. At an eye-watering cost of $7.6 billion It is the largest economic development project in the state. history (One that led the Georgia Legislature to adopt a resolution)Hyundai Day– For now the so-called workers Metaplant building a company Popular electric SUVsHyundai Ioniq 5, and soon more EVs will be built as well. and to drive those vehicles Hyundai is set to open a battery production facility at the site. and spending billions to open another plant in Georgia.

Hyundai’s plan will help the Ioniq 5 and other future electric cars. that is already in use Qualifying for tax credits enacted by the Inflation Reduction Act, American-made EVs are eligible for rebates that can reduce prices by thousands of dollars. Makes it more attractive to consumers But Hyundai’s nearly $13 billion investment could soon run into roadblocks in President-elect Donald Trump’s second term. said he would Build a history of those tax credits.– If he follows through on that promise, EV sales It will definitely be slow.And Americans will buy gas bottles that will emit more greenhouse gases for decades to come. Plus, they’ll still be on the road. The problem is worse than it seems: The auto industry is investing More than 300 billion dollars To meet the Biden administration’s EV goals, most automakers are hemorrhaging money on EVs. And revoking the incentives could be an excuse to reverse plans to introduce electric cars. This will give consumers more clean driving options.

Despite Trump’s crackdown on electric cars, Hyundai may be well-equipped to get Americans interested in going electric. Hyundai Motor Group’s three brands – Hyundai, Kia and Genesis – came second to Tesla in electric car sales this year. But their electric cars come with a price tag. battery group And with advanced technology features that are hard to beat, Hyundai’s Ioniq 6 sedan retails for about the same price as the Tesla Model 3 but can charge faster. The company’s cars also allow Americans to go electric in a way they couldn’t before: Before the Kia EV9, families were looking for a truly roomy three-row SUV. not good Electrical options“As the EV scene is about to be shaken to its core,” said Robby DeGraff, an analyst at consulting firm AutoPacific, “Hyundai’s broad portfolio “is what Tesla lacks.” Despite Elon Musk’s close ties to Trump, but the most important EV company in his second term may turn out to be Hyundai.

It might seem strange that Musk is cheering Trump’s desire to pull back EV incentives, but Tesla, which is rare at generating profits at scale, EVs can withstand the loss of tax credits better than anyone else. If the EV tax credit disappeared tomorrow Startups like Rivian and Lucid Motors will face major headaches. They’re still in the same money-losing early stages as Tesla has been for nearly two decades: They lack the economies of scale to sell EVs in high volume and cheap. Their EVs are also expensive. So they need all the help they can get across.”valley of death– That’s also a problem for big companies. Ford is Backtracking already. This is because electricity sales did not meet expectations and costs increased. It’s hard to scale EVs without government help to win over new buyers.

Few companies’ electric efforts might work well without incentives. In addition to Tesla, there’s General Motors. The company has spent a year making a surprising turnaround in its electric operations after that. The year 2023 is a disaster.And it is also producing more and more affordable EVs. It’s close to being able to make a profit. too.

And Hyundai, aside from Tesla, is the only major car company in the United States. that can make money from EVs and are introducing new electric models come out quickly Hyundai’s push into electric cars is a rare bright spot for an industry buried beneath it. increasing losses and strategic mistakeTesla’s sales are down in 2024, in part because the company’s EV lineup is starting to feel weak. Aside from the Cybertruck, which starts at nearly $80,000, Tesla hasn’t launched a completely new vehicle since 2020. Tesla made a promise. Time and again, electric cars are launched for under $30,000 but fail to deliver as the episode spins. to robot taxis

By comparison, Hyundai’s EV is starting to surpass Tesla’s take on the Kia EV3, a high-range compact car already available in Europe and South Korea. It is likely to start at About 35,000 dollars Speaking of the United States in 2026, at the recent Los Angeles Auto Show, all three Hyundai brands showed off their new models. Each brand will have access to Tesla’s exclusive Supercharger network direct from the factory. To do that, Hyundai’s brands will sell as many Tesla plug-in electric car models as possible. Tesla alreadyS– At the other end of the spectrum, Hyundai has EVs. that simulates the sound of the engine and gear changes Found in vehicles that use high-performance gasoline and produce no emissions. Meanwhile They also do other things that Teslas have barely begun to do, such as: Supply power to the entire house In case of emergency Tax credit or not? “Generally, we believe this is what customers want,” said José Muñoz, global CEO of Hyundai.

Hyundai has come a long way from its early days. When that happens hip hop music– Hyundai cars can attract American buyers. This is because Hyundai cars are generally less expensive than a comparable Honda or Toyota. (But often not as good) Hyundai’s brilliance isn’t just about electric cars. It brings Tesla-level technology to the automobile industry. “traditional” in recent years Hyundai has held some of the industry’s leading positions. design and Engineering ability To be a leader on both sides Acquires Boston Dynamics to enter the robot area Signed a deal to supply Hyundai EVs for Google’s Waymo self-driving taxi service and established itself as the first brand to Selling New Cars on Amazon–

The irony of Hyundai’s transformation is that the South Korean government came to the rescue. With regulatory support that Trump may now cut himself off from the United States That includes incentives to help the country build its own battery industry. It relies on Korean tech giants such as LG, SK On, and Samsung to go out of business. Chinawhich dominates the battery sector And with approximately 8,000 jobs at Georgia Metaplant, it looks like the U.S. It will benefit from Hyundai’s renaissance as much as its home country. Perhaps economic reasons for maintaining EV incentives might help them. Georgia Governor Brian Kemp, a Republican, has been a big supporter of Hyundai’s investments in his state. Most investments under the Inflation Act have gone to Republican districts.

If Trump doesn’t eliminate the EV tax credit, Hyundai should be in a good position. The decision to build EVs and batteries here should keep costs down, DeGraff told me. That’s especially true as Trump threatens to raise tariffs that could affect cars made in Mexico and South Korea. But without the EV tax credit, there’s only so much Hyundai can do to keep selling electric cars. Hyundai especially benefits from a loophole that makes EV rentals much cheaper. And if there is no such discount Buyers may decide that the headaches associated with charging and range anxiety aren’t worth the trouble. DeGraff said his company, AutoPacific, found that three-quarters of potential buyers say the tax credit is a relief. Important when considering purchasing an electric car Ultimately, Hyundai’s big EV investment in America will test this question: Are Americans still willing to go electric? If they don’t get a large subsidy then do so.

In the end They might succeed if they get a good deal, and that’s where Hyundai is poised to do well. “Affordability will continue to be the main make or break (factor) for EV buyers, especially if we see a wave of new tariffs applied to everything outside of the automotive space. This will squeeze American wallets even tighter,” DeGraff said. Trump is almost bad news for electric car sales. But he alone will not dictate what cars Americans buy. During the upcoming presidential term Car companies will have more of a burden to produce electric cars that Americans want to buy. Whether they care about the environment or not. Hyundai’s promise is that the company has come up with a roadmap for how it’s going to get there: whether it’s taxes or tax credits. It’s hard to resist a great deal on a great car.