Hyundai Motor Group Investing $12.3 billion In 2012

Hyundai Motor Group will be investing $12.3 billion or 14.1 trillion won for 2012 on its major sectors research & development and facilities. This record-high budget is an increase of 15.6 percent from its investment this year. Specifically, 5.1 trillion won will be invested for R&D while 9 trillion won will be spent to develop its facilities. Its R&D investment will be focused mostly on development of futuristic vehicles like electric cars and environmental-friendly hybrids. At least 80 percent will be shelled out at home under its business policy in order to increase the domestic demand. Moreover, the Group intends to open around 7,500 jobs in 2012, comprising 6,500 employees and 1,000 internship workers. The company’s spokespeople emphasize that the development of environmental-friendly vehicles will be the group’s core investment goal. After the sales of the K5 hybrid and the Sonata hybrid in 2011, the group is targeting to launch a range of hybrid models next year. The group intends to implement role-sharing strategies between Hyundai Motor and its affiliate Kia Motors in developing environmentally friendly vehicles. Kia Motors will mainly focus on “electric drive vehicles,” which utilize traction motors or electric motors for propulsion. On the other hand, Hyundai Motor will focus on developing models of “fuel cell vehicles” and “plug-in hybrids,” which use rechargeable batteries.