Hyundai plans to invest $500 million in its Montgomery, Alabama, manufacturing facility to support future vehicle production, expand engine manufacturing and advance next-generation propulsion technologies. The expansion will prepare the plant for new vehicle models and extended-range electric vehicle technology.
Hyundai Expands Its Alabama Manufacturing Facility
Hyundai’s Montgomery operation spans 2 million square feet and has the capacity to produce 400,000 vehicles and 700,000 engines annually. The new investment will bring the company’s total spending in Alabama to $2.2 billion since operations began in 2005.
Hyundai Motor Company President and CEO José Muñoz has also announced plans to invest $2.6 billion in the United States between 2025 and 2028.
Mark Rader, president and CEO of Hyundai Motor Manufacturing Alabama, said the investment will help keep the facility a key part of Hyundai’s North American manufacturing operations for years to come.
Plant Prepares for Tucson and Santa Fe Production
The investment will retool the Alabama facility to support production of extended-range electric vehicle (EREV) technology, the new Tucson and the refreshed Santa Fe.
The Tucson is Hyundai’s best-selling model in the U.S., with the Santa Fe close behind. Production of the all-new Tucson is scheduled to begin before the end of the year.
Hyundai Advances Extended-Range EV Technology
Hyundai’s EREV technology is designed to introduce a new type of range-extending powertrain for the brand. The company aims to make the system more compact, lighter and more energy-efficient than current range-extending technologies.
The $500 million expansion will support Hyundai’s plans for future vehicle production and propulsion systems at its Montgomery plant.
