Hyundai and General Motors (GM) have agreed to collaborate on developing new vehicles and supply chain technologies to reduce costs and enhance efficiency.
The partnership will focus on joint product development, manufacturing, and future clean energy technologies, including internal combustion vehicles, clean energy, electricity, and hydrogen.
The non-binding framework agreement was signed by Hyundai CEO Euisun Chung and GM CEO Mary Barra, who emphasized the goal of leveraging the scale and creativity of both companies to deliver more competitive vehicles to customers faster and more efficiently.
Hyundai Motor, including its subsidiary Kia, ranks as the third-largest automaker globally by sales, while GM is currently the largest automaker in the U.S., having regained this title from Toyota.
Automakers face intense pressure to innovate in electric vehicle technology and batteries amid global emissions regulations, with R&D efforts costing billions. Additionally, they contend with competition from Chinese automakers, particularly in the electric vehicle sector, as these companies seek to export their low-cost models abroad.