Hyundai weighs capacity boost to make Georgia plant largest in US
CEO José Muñoz says tariffs and a push for 80 per cent domestic production by 2030 are driving the potential expansion.
Hyundai Motor is considering a significant expansion of its Georgia Metaplant, aiming to increase annual production capacity from 500,000 to between 700,000 and 800,000 vehicles by 2028. CEO José Muñoz disclosed the potential move to CNBC on Thursday, noting that the plans are currently under consideration but have not yet been confirmed.
At the upper end of the proposed range, the Bryan County facility would overtake rivals such as Tesla and Toyota Motor to become the largest vehicle assembly plant in the United States by capacity. The expansion is designed to build hybrid and all-electric vehicles for the Hyundai, Genesis, and Kia brands, which are currently produced at the site alongside the Kia Sportage hybrid.
Muñoz stated that President Donald Trump’s tariffs, including a 15 per cent levy on imports from South Korea, have accelerated the company’s localisation plans. He noted that while Hyundai had already begun its localisation strategy before the tariffs were announced, the new trade measures are helping to speed up the process.
The company aims to raise its domestic production share of US vehicle sales from roughly 40 per cent in 2024 to at least 80 per cent by 2030. To achieve this target, Muñoz said the company needs to add more capacity. Any such expansion would be funded within Hyundai’s existing $26 billion US investment commitment, which runs through to 2028.
The Georgia Metaplant was first announced in 2022 with a $7.6 billion investment. Under the current 500,000-unit framework, the campus employs more than 8,500 people directly, with a further 6,900 positions supported at nearby supplier facilities. Hyundai is also evaluating additional investment for body-on-frame vehicles, such as trucks and SUVs, at a separate location, though details remain limited.
Muñoz, who became the first non-Korean CEO of Hyundai Motor last year, described the US as the most important market for the company outside of its South Korean headquarters. According to data from Mobility Global cited by CNBC, Hyundai’s US market share has grown from 8.4 per cent in 2020 to 11.2 per cent in the previous year.
