Hyundai to Invest USD 6.26 Billion in AI, Hydrogen and Solar Hub in Saemangeum

Hyundai Motor Group on Friday signed an agreement with the South Korean government to invest approximately KRW 9 trillion, or USD 6.26 billion, in building an artificial intelligence (AI) data centre, a robot manufacturing facility, and hydrogen and solar energy infrastructure in the country’s western coastal region.

The announcement was made by the land ministry, marking one of the largest private sector investments in the Saemangeum area in recent years.

Hydrogen and Solar Energy Investments

As part of the clean energy push, Hyundai Motor Group will invest KRW 1 trillion in hydrogen production facilities and KRW 1.3 trillion in solar power generation.

The integrated approach is designed to create an advanced industrial ecosystem combining manufacturing, digital infrastructure, and renewable energy.

Major AI Data Centre with 50,000 GPUs

Out of the total planned investment, Hyundai Motor Group will allocate around KRW 5.8 trillion to develop a large-scale AI data centre. The facility will deploy 50,000 graphics processing units (GPUs), positioning it as a significant digital infrastructure project in South Korea.

The AI data centre is expected to support advanced computing needs across robotics, smart mobility, and industrial automation. It will serve as a foundation for the Group’s expansion into next-generation digital technologies.

The Group will also invest KRW 400 billion in constructing a factory dedicated to producing robots, including wearable robotic devices.

Strategic Importance of Saemangeum

The project will be located in Saemangeum, a large-scale national land reclamation initiative that began over two decades ago. Initially intended to secure farmland, the project later evolved to attract industrial clusters to the western coastal region, historically considered economically disadvantaged.

Saemangeum offers abundant renewable energy resources and established transport connectivity, including rail, port, and airport infrastructure. These factors make it a strategic location for Hyundai’s planned industrial complex.

The area is situated in the Jeolla provinces, which have traditionally supported liberal political parties, including the Democratic Party led by Lee Jae-myung.

Part of Broader KRW 125.2 Trillion National Investment Plan

The Saemangeum investment forms a core component of Hyundai Motor Group’s broader plan to invest KRW 125.2 trillion in South Korea between 2026 and 2030. The long-term strategy, announced last year, focuses on accelerating growth in advanced manufacturing, clean energy, and AI-driven mobility solutions.

Speaking at the signing ceremony, Jaehoon Chang, Vice Chair of Hyundai Motor Group, said, “What we're building in Saemangeum will reshape not just a region, but Korea's industrial future. Hyundai Motor Group brings together the manufacturing excellence, AI capabilities, and hydrogen energy expertise needed to establish a truly advanced industrial ecosystem. This is how we translate our commitment to 'Progress for Humanity' into reality.”

The signing ceremony was attended by senior government officials and company executives. Government representatives included President Lee Jae-myung and Kyunghoon Bae, Deputy Prime Minister and Minister of Science and ICT.

Hyundai Motor Group was represented by Executive Chair Euisun Chung, Vice Chair Jaehoon Chang, and Gang Hyun Seo, President and Head of the Corporate Planning Office, among others.