Hyundai Decides To Lower Their Combustion Engine Models To Invest More In Electric Cars
Hyundai Motor Group is planning to reduce its combustion engine models in numbers. According to the South Korean company, it will let them invest more in their electric vehicles.
If the company goes with the plan, there will be at least a 50% reduction in the cars that run on fossil fuels. As per the reports, the new plan has already been approved by the top management in March.
The report says that it is a great business move for the company. It will achieve the release of R&D resources. Thus they will be able to put more focus on electric motors, fuel cells, and batteries. The time frame has not been revealed yet.
The company has still not announced anything regarding its combustion engine models officially. They have said in an email on Thursday that they were inclined to make more eco-friendly vehicles such as battery EVs and hydrogen fuel cell vehicles.
The South Korean automaker revealed that their aim is to expand their battery EV offerings in important markets like Europe, United States, and China. They hope to meet their goal of full electrification by 2040.
Hyundai Motor Group also owns Kia Group, Hyundai Motor Co, and Genesis. The company hopes to sell nearly one million EV’s every year by the end of 2025. They believe they will acquire a 10% share of the world EV market as well.
Due to the strict CO2 emission targets in Europe and China, most car-making companies are choosing to make EVs instead of regular cars.
The cost of developing electric motors and boosting the driving range of the batteries of the cars are quite expensive. That is more companies are stepping away from investing in a traditional engine.
The report says that Hyundai has already stopped their development of new powertrains that are needed in the internal combustion engine cars.
PSA Group has declared that they will not invest in combustion engines anymore before they merged with Fiat Chrysler to form Stellantis.
The combustion engines at Daimler were remodeled recently and the company believes that the new generation will appreciate it by seeing it through the electrification process.
Most of the carmakers have announced that will go completely electric. Volvo said that it will go fully electric by the end of 2030. Ford Motor Co also declared that it will transform its line-up in Europe to electric around the same time frame.
Hyundai’s move will bring a revolution in the global automobile industry.
As per a source, the company plans to complete its electrification process within six months from now.
Hyundai previously declared in April that it will reduce the number of gasoline cars in China by 2025. They plan to lower the number from the current 21 to 14.
The firm said it will not be working with Apple to produce an autonomous vehicle.
The company could not stay being merely a contract manager for Apple.
