General Motors (NYSE: GM) and Hyundai Motor Company (KRX: 005380 KS) have agreed to explore future collaboration across critical strategic areas. GM and Hyundai will seek ways to leverage their complementary scale and strengths to reduce costs and quickly bring a broader range of vehicles and technologies to customers.
Potential collaboration projects centre on the co-development and production of passenger and commercial vehicles, internal combustion engines, and clean-energy, electric, and hydrogen technologies.
The two leading global OEMs will review opportunities for combined sourcing in battery raw materials, steel and other regions.
Hyundai Motor Group Executive Chair Euisun Chung and GM Chair and CEO Mary Barra signed the framework agreement.
Barra said a partnership between the two companies has the potential to make vehicle development more efficient by enabling greater scale and supporting disciplined capital allocation.
“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,” said Barra.
Hyundai and GM’s flexibility and agility will allow both companies to explore the development of their shared capabilities.
“This partnership will enable Hyundai Motor and GM to evaluate opportunities to enhance competitiveness in key markets and vehicle segments, as well as drive cost efficiencies and provide stronger customer value through our combined expertise and innovative technologies,” said Chung.
Following the signing of the non-binding Memorandum of Understanding, opportunities will be assessed, and progress towards binding agreements will begin immediately.
