Saturday, July 12, 2025

Hyundai Ceases Engine Development Division To Accelerate Electrification Plan

Hyundai Motor Group will stop developing new internal combustion (IC) engines and will shift its focus towards electrification of vehicles. Having said that, the company is reported to have shut down its engine development division at its Namyang R&D centre in South Korea. The move is in line with the brand's plans to go fully electric across all major markets worldwide by 2040. 

Also Read: Hyundai Showcased Ioniq 5 Electric Crossover And NEXO FCEV In India

Park Chung-kook, the newly appointed R&D chief has stated in an email to its employees that “Now, it is inevitable to convert into electrification. Our own engine development is a great achievement, but we must change the system to create future innovation based on the great asset from the past.”

Hyundai has also moved its researchers from the engine design unit to the electrification design center, leaving only some to modify existing engines. Besides, the powertrain system development center is now transforming into an electrification test center, while the powertrain performance development center is becoming an electrification performance development center. Besides, the carmaker has also established a new battery development center under the electrification development division to secure advanced battery technology. 

The company has also streamlined the R&D center by combining project management teams and product integration development teams to rev EV development. It will also focus on raw materials for batteries and semiconductors as they are crucial elements in the EV and autonomous vehicle space.

Source

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