Common Motors (GM) and Hyundai Motor Group introduced the signing of a Memorandum of Understanding to discover potential partnerships throughout a myriad of automotive tech segments, together with joint EV and powertrain improvement, manufacturing, and provide chain sourcing.
One of many world’s most distinguished American automakers has introduced a possible landmark partnership with one of the vital progressive and promising automakers within the BEV phase as we speak. For years, GM has proclaimed its dedication to going all-electric and has promised a number of new fashions within the works.
For fairly some time, prospects had been left to decide on between the now lame-duck Chevy Bolt or the super-expensive Hummer EV whereas they waited for extra reasonably priced mannequins. However GM and its sub-brands have lastly begun bringing extra BEVs to market—however not with out GM’s justifiable share of progress points.
A glimmer of hope in reasonably priced GM EVs has been the Chevy Equinox, which, though it arrived at a beginning value increased than initially marketed, provides loads of positives, stays one of many model’s most reasonably priced new fashions, and may promote nicely.
Yesterday, we discovered that GM could be starting gross sales of the Equinox in Korea, presumably taking its reasonably priced EV battle to Hyundai Motor Group’s residence turf. Nevertheless, information shared by GM and Hyundai earlier as we speak paints a unique image—one in all (potential) collaboration in EV expertise improvement.
GM, Hyundai signal potential game-changing world alliance
GM and Hyundai held a joint press convention earlier as we speak by which executives from each events signed a Memorandum of Understanding (MoU) to “instantly” start exploring paths for collaboration by way of a “world alliance.”
In keeping with the automakers, the purpose of the MoU is to research joint product improvement, manufacturing, and future clear vitality applied sciences, together with the co-development of passenger and business BEV fashions and powertrains.
GM and Hyundai will look to capitalize on their respective strengths and scales as a way to reduce prices and produce extra new fashions to the general public quicker. Per GM CEO and chair Mary Barra:
GM and Hyundai have complementary strengths and gifted groups. Our purpose is to unlock the size and creativity of each corporations to ship much more aggressive autos to prospects quicker and extra effectively.
Along with EV improvement, GM and Hyundai stated they may also discover avenues by which they will mix provide chain sources of issues like battery uncooked supplies, metal, and different parts. Hyundai Motor Group govt chair, Euisun Chung, additionally spoke:
This partnership will allow Hyundai Motor and GM to guage alternatives to reinforce competitiveness in key markets and car segments, in addition to drive value efficiencies and supply stronger buyer worth by way of our mixed experience and progressive applied sciences.
Per GM and Hyundai, the method of assessing potential alternatives for collaboration and their respective development towards binding agreements will start as quickly as attainable.
Electrek’s take
If it involves fruition, this may very well be a home-run deal for either side within the automotive trade. As I are likely to level out usually once I cowl Hyundai Group on Electrek, there’s arguably no different OEM doing extra proper now by way of constant innovation and high quality EV deliveries.
They only appear to get it proper each time. I believe lots of this early success may be traced again to Hyundai, starting with 800V platforms years in the past, starting with the IONIQ 5 and Kia EV6. That platform expertise was arguably not essential on the time of its improvement however served as a hefty funding sooner or later, and it’s paid off tenfold up to now.
Not like Hyundai Motor Group, GM has struggled with its Ultium platform by way of effectivity and has needed to load up its present BEV fashions with large battery packs to ship a aggressive vary. Bigger batteries equal increased prices to shoppers, so GM’s pricing has gone up. Lots of its out there fashions are extra premium and priced as such in opposition to autos from Rivian, Lucid, and Mercedes. I’d personally take a Rivian over any GM electrical truck, and far of the market has agreed.
With assist from Hyundai, GM might repair a few of its architectural woes and produce down provide chain prices, thus delivering extra of the reasonably priced BEV fashions it has been promising for 5 years now. On the opposite facet of the desk, Hyundai, which stays a a lot smaller OEM than GM on a world scale, might achieve entry to the American automaker’s manufacturing and distribution prowess and money in on a few of GM’s fame.
If this MoU solidifies into real partnerships, it might be a win-win for everybody. I’m excited to see what these two can create collectively.
