Hyundai freezes US car prices until June
Hyundai Motor Company announced it has no plans to raise its vehicle prices in the US in the short term, after the Donald Trump-led US government followed through on its threats to introduce a blanket 25% import tariff on all vehicles imported into the country.
Hyundai Motor America last week launched a customer assurance (CA) programme in response to 'dynamic market conditions and the potential impact of tariffs on the automotive industry,' with the aim of strengthening its 'long-standing commitment to supporting American consumers and safeguarding affordability.'
The company confirmed that as part of the CA programme, customers who purchase or lease any new Hyundai vehicle in the US before 2nd June 2025 'will see no increase in the manufacturer's suggested retail price (MSRP).'
José Muñoz, president and CEO, Hyundai Motor Company, said in a statement: 'At Hyundai, we have a long history of providing value and doing what's right for our customers and communities. We know consumers are uncertain about the potential for rising prices and we want to provide them with some stability in the coming months. Our MSRP commitment is just one part of our multifaceted effort to provide great vehicles to American consumers, while also supporting hundreds of thousands of jobs and investing billions of dollars in the most important market for our company.'
Hyundai Motor Group (HMG), which includes both Hyundai and Kia, recently completed construction of a third vehicle assembly plant in the US, the Metaplant America facility in the state of Georgia, with an annual production capacity of 300,000 vehicles per year. This will increase Hyundai and Kia's combined annual production capacity in the country to 1 million units once it becomes fully operational.
HMG sold around 1.7 million vehicles in the US in 2024, meaning that it still relies heavily on exporting vehicles to the US from production facilities in South Korea and Mexico. From South Korea, the group exported a total of 1,145,000 vehicles last year, worth around US$38bn.
Last month HMG announced it plans to invest US$21bn in the US between 2025 to 2025, to expand production capacity further, develop future technologies and improve energy infrastructure. The Metaplant will be expanded to 500,000 units/year in this period.
"Hyundai freezes US car prices until June" was originally created and published by Just Auto, a GlobalData owned brand.
The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Bloomberg
44 minutes ago
- Bloomberg
Trump Says China ‘Not Easy' as Trade Talks Resume
Good morning. Trade talks between the US and China continue into a second day in London. The Trump administration mobilizes Marines in response to the LA protests. And the Ritz London claims the top spot in the UK National Restaurant Awards. Listen to the day's top stories. Trade talks between the US and China will continue into a second day as the two sides look to ease tensions over shipments of technology and rare earth elements. 'We are doing well with China,' Donald Trump told reporters at the White House, adding ' China's not easy.'
Yahoo
an hour ago
- Yahoo
Exclusive-Hyundai Motor has a rare earths stockpile that can last about a year, source says
By Heekyong Yang SEOUL (Reuters) -Hyundai Motor has a rare earths stockpile that can last about a year and it does not expect any near-term impact from global supply chain disruptions caused by China's export curbs, said a person who attended a company investor call. China's decision in April to restrict exports of a wide range of rare earths and related magnets has tripped up the supply chains central to automakers, aerospace manufacturers, semiconductor companies and military contractors around the world. The stockpiling by Hyundai, the world's No.3 automaker along with its affiliate Kia Corp, indicates it is better-placed than many competitors to withstand restrictions that have already impacted production or the supplier network of companies including Ford and BMW. A Hyundai investor relations official said the South Korean automaker had "far more wiggle room" than rivals with regard to rare earths-related supply chain issues affecting the industry, according to the attendee on the investor call, which was not open to the public. The official told investors Hyundai's efforts to diversify supply chains and improve procurement had succeeded and the company expected to be able to produce electric vehicles or hybrid cars without disruptions "for at least about one year," the attendee said. Hyundai also significantly boosted its rare earths inventories during a recent period when China had slightly relaxed its export restrictions, the official said, according to the attendee who spoke on condition of anonymity because the call was private. The South Korean automaker's stockpile of the key minerals had not been reported previously. It was not clear whether the inventory was solely stockpiled by Hyundai and its affiliate Kia or also included stocks held by their suppliers. In a statement to Reuters, Hyundai declined to comment on specific inventory details or procurement strategies. "We continuously evaluate market conditions to ensure operational stability and maintain a diversified global supply chain," Hyundai said. "As part of our standard business practices, we maintain appropriate inventory levels to support uninterrupted production." China produces around 90% of the world's rare earths, which are essential for the production of vehicles, especially electric vehicle motors. Hyundai Motor Group also holds about a one-year inventory of rare earths-related magnets needed for its mainstay EVs and hybrid vehicles, said a person familiar with the matter, declining to be named due to the sensitivity of the subject. China's dominance of the critical mineral industry is increasingly viewed as a key point of leverage for Beijing in the trade war sparked by U.S. President Donald Trump's tariffs. U.S.-China trade talks were set to extend to a second day in London on Tuesday as top economic officials from the world's two largest economies sought to defuse a bitter dispute that has widened from tariffs to restrictions over rare earths.
Yahoo
an hour ago
- Yahoo
Exclusive-Hyundai Motor has a rare earths stockpile that can last about a year, source says
By Heekyong Yang SEOUL (Reuters) -Hyundai Motor has a rare earths stockpile that can last about a year and it does not expect any near-term impact from global supply chain disruptions caused by China's export curbs, said a person who attended a company investor call. China's decision in April to restrict exports of a wide range of rare earths and related magnets has tripped up the supply chains central to automakers, aerospace manufacturers, semiconductor companies and military contractors around the world. The stockpiling by Hyundai, the world's No.3 automaker along with its affiliate Kia Corp, indicates it is better-placed than many competitors to withstand restrictions that have already impacted production or the supplier network of companies including Ford and BMW. A Hyundai investor relations official said the South Korean automaker had "far more wiggle room" than rivals with regard to rare earths-related supply chain issues affecting the industry, according to the attendee on the investor call, which was not open to the public. The official told investors Hyundai's efforts to diversify supply chains and improve procurement had succeeded and the company expected to be able to produce electric vehicles or hybrid cars without disruptions "for at least about one year," the attendee said. Hyundai also significantly boosted its rare earths inventories during a recent period when China had slightly relaxed its export restrictions, the official said, according to the attendee who spoke on condition of anonymity because the call was private. The South Korean automaker's stockpile of the key minerals had not been reported previously. It was not clear whether the inventory was solely stockpiled by Hyundai and its affiliate Kia or also included stocks held by their suppliers. In a statement to Reuters, Hyundai declined to comment on specific inventory details or procurement strategies. "We continuously evaluate market conditions to ensure operational stability and maintain a diversified global supply chain," Hyundai said. "As part of our standard business practices, we maintain appropriate inventory levels to support uninterrupted production." China produces around 90% of the world's rare earths, which are essential for the production of vehicles, especially electric vehicle motors. Hyundai Motor Group also holds about a one-year inventory of rare earths-related magnets needed for its mainstay EVs and hybrid vehicles, said a person familiar with the matter, declining to be named due to the sensitivity of the subject. China's dominance of the critical mineral industry is increasingly viewed as a key point of leverage for Beijing in the trade war sparked by U.S. President Donald Trump's tariffs. U.S.-China trade talks were set to extend to a second day in London on Tuesday as top economic officials from the world's two largest economies sought to defuse a bitter dispute that has widened from tariffs to restrictions over rare earths. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
