(From left) Mary Barra, GM Chair and Chief Executive Officer; Euisun Chung, Executive Chair of Hyundai Motor Group
General Motors and the Hyundai Motor Company have signed an agreement to explore future collaborations, meaning they will be looking for ways to leverage their scale and strengths, reduce costs as a result, and more quickly bring a wider range of vehicles and technologies to their customers.
Their potential collaboration projects will focus on co-development and production of passenger and commercial vehicles, internal combustion engines and clean-energy, and electric and hydrogen technologies. The OEMs will also look at opportunities to combine sourcing in areas like battery raw materials and steel, among others.
“GM and Hyundai have complementary strengths and talented teams. Our goal is to unlock the scale and creativity of both companies to deliver even more competitive vehicles to customers faster and more efficiently,” aid GM Chair and CEO Mary Barra in a statement. She, along with Hyundai Motor Group Executive Chair Euisun Chung, signed the framework agreement.
Chung said the partnership will allow both companies to look at opportunities to boost competitiveness in key markets and vehicle segments. It will also allow them to drive cost efficiencies and provide “stronger customer value through our combined expertise and innovative technologies,” said Chung.
Now that the non-binding Memorandum of Understanding has been signed by both parties, the next step will be to assess the opportunities and progression towards binding agreements — all of which is set to begin “immediately.”
