Hyundai’s Georgia EV Plant Kicks Off Production Ahead of Schedule

Hyundai Motor Group has hit the ground running at its new all-electric vehicle plant in Georgia. The company confirmed to local media that the first Hyundai Ioniq 5 units rolled off the production line at Hyundai Motor Group Metaplant America (HMGMA) in early October, beating their Q4 2024 target.

Ahead of the Game

The Korean automaker’s ahead-of-schedule start is impressive, considering they broke ground less than two years ago. An employee event on October 3rd celebrated the first Ioniq 5 coming off the line, recognizing the hard work put in over the past 24 months.

“After validating its production processes to ensure its vehicles meet Hyundai Motor Group’s high quality standards, HMGMA has started initial production of customer vehicles ahead of schedule,” Hyundai stated.

IRA Compliance and Price Drop

This move is huge for Hyundai’s US market strategy. Previously, all Ioniq 5s sold in the States were imported from South Korea. Now, Georgia-built units will meet the Inflation Reduction Act (IRA) requirements, making them eligible for up to $7,500 in US tax credits. This could drop the Ioniq 5’s entry-level price from $41,800 to $34,300, potentially boosting demand significantly.

Ambitious Plans

Hyundai’s not stopping at just the Ioniq 5. The HMGMA facility, announced in May 2022, is set to produce up to 300,000 electric cars annually across the Hyundai, Kia, and Genesis brands. To support this massive undertaking, Hyundai’s also building two battery cell factories in Georgia, aiming to localize their supply chain and qualify for long-term US subsidies.

Waymo Partnership

In related news, Hyundai’s partnering with Waymo to integrate autonomous driving tech into the Ioniq 5. José Munoz, Hyundai’s Global COO, stated, “The team at our new manufacturing facility is ready to allocate a significant number of vehicles for the Waymo One fleet as it continues to expand.”

EVXL’s Take

Hyundai’s rapid progress in Georgia showcases the momentum building in the US EV market. This development aligns with trends we’ve seen across the industry, as discussed in our recent coverage of Hyundai’s EV efforts. The IRA compliance is a game-changer, potentially making the Ioniq 5 one of the most competitively priced EVs in its segment. It’ll be interesting to see how this affects Hyundai’s market share and pushes other manufacturers to accelerate their US production plans.

What are your thoughts on Hyundai’s quick start in Georgia? Drop a comment below and let us know how you think this will impact the EV landscape in the US.​​​​​​​​​​​​​​​​