Hyundai, Kia Announce All-New Dedicated Electric Car Platform For 2020

MAR 2 2019 BY MARK KANE 55

Hyundai is aware that after 2020, dedicated platforms for EVs are a must.

Hyundai Motor Group‘s long-term plan includes the introduction of 44 electrified Hyundai/Kia/Genesis models. Those include hybrids, plug-in hybrids, all-electric and hydrogen fuel cell cars, by 2025. Annual sales of those electrified models are expected to reach 1.67 million in 2025.

The South Korean manufacturer would like to become one of the world’s top three manufacturers of electric cars.

One of the major endeavors taken on by the group is the development of an all-new dedicated EV platform. It will be ready in about a year. Therefore, the first new all-electric car will be introduced in 2020!

“In 2020, the company plans to introduce a new model built on a dedicated EV platform, while improving cost and technical efficiency in manufacturing EVs through wide-ranging innovations, such as battery system applications.”

Hyundai’s brand investment in vehicle electrification in the mid- to long-term to be KRW 3.3 trillion (over $2.9 billion).

“Hyundai’s mid- to long-term investment plan will amount to KRW 45.3 trillion, including a KRW 30.6 trillion for R&D and capital expenditure on vehicle manufacturing, as well as a KRW 14.7 trillion in future-growth areas such as autonomous driving technologies, vehicle electrification and mobility services.”

“To pave the way for future growth totaling KRW 14.7 trillion, Hyundai earmarked KRW 6.4 trillion for smart mobility area. Additional spending of KRW 3.3 trillion for vehicle electrification, KRW 2.5 trillion in autonomous driving and connectivity technologies and KRW 2.5 trillion for the development of artificial intelligence and other advanced R&D activities.”

Other Investments

Hyundai Motor Group remains bullish about hydrogen fuel cell cars. The automaker is willing to invest roughly KRW 8 trillion (about $7.1 billion). That should secure manufacturing capability for 500,000 FCVs per year by 2030.

In the next few years, Hyundai intends to launch an autonomous robo-taxi pilot project in Korea.

“Hyundai will also reinforce its leadership in the global hydrogen fuel-cell vehicle market Moving beyond being the first automaker to successfully commercialize FCEVs in 2013. Earlier this year, Hyundai Motor Group introduced a plan to invest approximately KRW 8 trillion in securing a 500,000-unit-a-year FCEV manufacturing capability by 2030. By being the “first-mover,” the company aims to accelerate the global community’s transition toward a hydrogen society.

Hyundai is also blazing the trail in the development of autonomous and connected vehicles.

While continuously upping its technologies in Advanced Driver Assistance System (ADAS) and autonomous driving, it plans to run an autonomous robot taxi program in Korea by 2021 on a trial basis. In the connected car realm, which will function as a hub in the hyper-connected future economy, Hyundai will bolster competitiveness by partnering global firms with state-of-the-art competitiveness.”

Hyundai Motor Group plug-in lineup:

Categories: Hyundai, Kia

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55 Comments on "Hyundai, Kia Announce All-New Dedicated Electric Car Platform For 2020"

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Next few months will determine if legacy makers should pursue EV. Are people going to pay Tesla money to buy Hyundai, especially since Tesla will come out with Y (hatch) soon? It’s not looking good for EV selection in the future, might become all Tesla. They might as well go Tucker on Tesla; might be cheaper and I’m sure they’re cooking in some back room.

In 2007-08, the big question was whether business users will ever ditch their innovative Blackberry for a consumer grade iPhone that doesn’t do “business stuff” well.

Cue to 2019 and we have the same die hard fans of the first mover who created the segment, Tesla, believe that no other company, especially those dreaded “legacy” companies can move in and compete and do “EV stuff” well.

Circle of life!

Tesla = Apple in your example

Hyundai is not going to magically become newcomer Apple and Google. Better comparison is Hyundai as Nokia and Tesla as Apple of 2008. Are you going to pay Iphone money for N97 or WindowsMobile Nokia? Answer was resounding NO, and that’s what’s going to happen.

Playing along with this analogy who is going to play Samsung, the player that will come along and mimic Apple at a more affordable price.

So far, nobody. I’m not aware of any EV that’s under $35K, 0-60 in 5.6 seconds. And that’s not even including sleek aero or a cool brand name.

0-60 times is not so important for most customers. A good value, practical and good quality vehicle on the other hand is where the volume market is. If it is quick – that is of course a bonus for many.

VW could well be the Samsung in this analogy with their ID line up

Hyundai will be the Samsung to Tesla as Apple.
The Koreans are very dominant in battery technology which I’m sure they will reserve the best of for their own car brands. The Germans, without an established battery industry, are staring down the barrel of using two or three-year-old battery technology until they can get up to speed.

“In 2007-08, the big question was whether business users will ever ditch their innovative Blackberry for a consumer grade iPhone” It wasn’t that simple. It took a Steve Jobs to create the iPhone. Elon is a genius with high IQ but he is no Steve Jobs. What made Steve Jobs 2.0 so great was that Steve Jobs made a lot of mistakes early on in his business life. And remember when Steve Jobs came back to Apple, Apple was on its deathbed and needed capital infusion from MicroSoft to survive. The rest was the stuff of legends. I suspect when Elon has made the same type of key mistakes Steve Jobs had made, Elon 2.0 will be amazing. Steve Jobs knew what consumers wanted, e.g. products that were “magical”. Elon still has not figure out how to put the Model 3 into the hands of the masses. Keep in mind Elon has missed huge production targets of Model 3 in the past. Elon was hugely optimistic on what Tesla can do. Take the US car market with annual sales of 15 to 18 million units per year. Even if Tesla is able to produce 10,000 units of the Model 3… Read more »
I own a Model 3. It’s AT LEAST as “magical” as the first iPhone was compared to existing phones at the time. There were mobile phones in 2007 when Jobs premiered the first iPhone. Like IPhone, the Model 3 looks different inside and out from any sedan ever made. Like iPhone, folks, especially in media, said it was too expensive and folks wouldn’t get it. Like 2007 iPhone, lots if folks who did understand its usefulness couldn’t afford it. Like iPhone, other manufacturers didn’t take it seriously and even thought it was a fad. Bye bye Nokia and Blackberry, to name just two. Tesla cannot turn the personal or commercial transportation sector to BEV single handedly with S, X and Y. as Apple could not singly change it’s market with iPod, iPad and iPhone. Other major players from S.Korea with Chinese manufacturing had to step up. Do you see the parallels? Tesla needs Hyundai/KIA and Volkswagen to enter the BEV story. More availability at more pricepoints with more options will win the day. Tesla has pushed this movement forward. Those that lagged behind or waited, failed. Model 3 is totally disruptive and now at this price, with foreign markets opening,… Read more »

The picture you see in the US is highly distorted. It’s not going to be all, or even a majority Tesla — they don’t make anywhere near the range of necessary car form factors to cover even Europe alone, forget many other markets.

Sure, the other makers are behind the curve, but some will catch up in a couple of years (and some may go bankrupt); there’s nothing inherent to EV manufacturing & marketing that makes competition with Tesla impossible.
Recall the replacement cycle for cars is S-L-O-W — over a decade.

The car business, irrespective of drivetrain, is a heavy manufacturing business. No matter what idiot “new economy” analysts (the same type who missed every Internet market trend) say, it’s heavily oriented towards doing the logistics & integration of numerous parts right.

If you want other forms, there are gassers. Once again, how many will pay Tesla money for a Hyundai, especially if Hyundai is lagging in spec? Not too many.

Spec and controls / indicators.

Again, you’re missing the point. First, form factors matter. Don’t assume that Tesla will be as successful outside the US as it is inside. The US isn’t the major EV market on the planet, or the second. It’s the third in size & importance. The most important form factor in Europe is compact hatchbacks like the Golf (the #1 seller in Europe for quite a few years now, not trucks, SUVs or sedans — and certainly not midsize sedans like the Model 3, which is still too large for many urban areas in the world by far). Tesla isn’t going to compete in that space in the foreseeable future. Second, it’s not “Tesla money for a Hyundai”. The feature set is hard to compare precisely, as they depend on what people exactly care about. For many people (myself included), the lack of a hatch and poor cargo space despite the large size makes the Model 3 complete non-starter, period . The e-Niro has 70% more trunk space and better rear seat space. The closest in range to the e-Niro is the Standard Plus Model 3, and if you want the even most basic cruise control (that all car today except… Read more »

$2.9 billion is a lot – perhaps Kia and Hyundai should each spend $1.45 billion and buy TSLA on the open market!

If EV’s succeed for the legacy manufacturers, I can’t see a scenario where TSLA doesn’t boom.

???

Far too US centred thinking. The US is only a small part of the world, and Tesla’s EV domination is nothing like its US domination, in other markets.
In the UK many general EV reviews still either do not mention Tesla at all, or just in a paragraph or two, usually after pages on VAG Group products (most of which do not even exist yet).
I do think Model 3 will change this (the UK still does not have it), but it will never achieve the total market dominance Tesla has in the US. Ditto Model Y.
Hyundai/Kia existing models are sold out so far ahead it is depressing. If they build them, customers will come, in huge numbers.

But the real carmakers would destroy Tesla by the sheer numbers of cars they can produce.
Rofl.
And Tesla is a moving target (see changes last week.)

GOOD. The word “dedicated” is probably a good term to describe to laymen the key differentiators between combustion engine platforms that have a two-drivetrain hybrid system squeezed in, at the expense of cargo and interior space (e.g. BMW 550e)… and platforms that were built for combustion drivetrains but only have BEV parts installed (e.g. Nissan Leaf) a platform that was designed without any accommodation for a combustion drivetrain – Tesla etc.

Dedicated BEV platforms gain an advantage that the other kinds can’t compete with

So true. So far we have Tesla, followed by VW/Seat/Porsche/Audi ready to produce vehicles in a large global scale, that will be using dedicated EV platforms by 2020.

And Honda with their Urban EV hatchback. It’s to go on sale this year. I just watched Jonny Smith’s video of him taking a look at the 95% ready production car. The video already has 321k views!!!
https://www.youtube.com/channel/UCzz4CoEgSgWNs9ZAvRMhW2A

Hyundai non dedicated ionic (hev phev bev) just as efficient as Tesla. Lets see what they do with a dedicated platform.

The $7.1 billion for fool cells is indicitive that Hyundai seems as confused as everyone else in regards to where to focus most of their resources into the future. The $2.9 billion allotted for electric cars ( less than half what they claim will go into FCVs ) looks like Hyundai us shadowing Volkswagen. In other words, if truly VW keeps their word and builds out a few EV factories chunking out several models on the MEB platform – $4.4 billion if I recall correctly, Hyundai/KIA would have enough in resources, battery contracts and factory space to quickly reach #2 in BEV volume. So Volkswagen #1, Hyundai Group #2 and Tesla #3 by volume of BEV sales in four years, give or take. The big boys have money to spend, engineers on payroll, supplier chains and resources up the kazoo. They want to stay within spitting distance of Tesla should the EV market take off like a Falcon 9 rocket. Hyundai just may pitch in to the rEVolution of the EVolution to EV transportation adoption. The S.Koreans surely have to watch what happens in China. They also must beware that Chinese companies may soon be flooding new markets with electrified… Read more »

“So Volkswagen #1, Hyundai Group #2 and Tesla #3 by volume of BEV sales in four years, give or take”

You will be off because you are discounting mainland Chinese BEV manufacturers. If your metric is in units (rather than in sales dollars), the mainland Chinese companies will win because their focus is on cheap(er) units to gain market share and after they have sizeable share, then they go up market.

I’ll give you an example: Apple created the modern smartphone, but sales of android devices dwarfed Apple’s sales in units! Why you ask? Because consumers rather have a cheap android device then pay Apple’s premium price. The same will hold true to BEV’s – you make a BEV for $15K to $20K, you will have buyers because they cannot afford $35K for a Tesla. The demand function is downward sloping and there is a lot of price sensitivity at the low end, e.g. price elastic!

And sadly, like the android/iPhone example, the mainland Chinese BEVs will will be both inexpensive and cheap, and by saving $15 now and costing yourself $200 over the long run you can get an insecure and poorly made bad experience…

China has evolved in the last ten years. Maybe that hasn´t reached US + EU media yet.

“by saving $15 now and costing yourself $200 over the long run ”

completely false, you are living in the past

There is always some yahoo who has to come on here beating the anti-fuel cell car drum with name calling. BEVs haven’t exactly been taking the market by a storm. Hyundai obviously wants to invest in alternative technologies. No one has a crystal ball.

Count the fuel cell cars vs BEVs.

There’s a lot of reasons to be very skeptical of fuel cell vehicles.

I think the reason investment continues is the PR value automakers get from advancing that technology, and also there are other applications from fuel cells that could be profitable. Home backup power, pairing with solar for off grid, clean peaker plants, etc.

At least that’s all I can guess.

To be fair, all these reasons were (and still are to some extent) used against BEV vehicles. You are now doing the same thing. There is nothing wrong with researching more than one avenue of progress. You will not see long haul battery widebodies flying anytime soon for example.
Hydrogen in cars? Maybe not the best idea. Hydrogen in large format applications? Probably not the worst idea.

Perhaps there will be a future for FCEVs, but it certainly won’t be by using compressed hydrogen to fuel them.

Those few still promoting the “hydrogen economy” hoax, shilling for Big Oil, have become a joke and an embarrassment to themselves and those who pay them.

Of course they have been taking the market by storm , with only a couple of exceptions,BEVs are. selling out with very long 6 month plus waiting lists. A “problem” that manufacturers would just love to have for their ICE models.
And one that must now be making them increase manufacturing plans for BEVs including arranging sufficient batteries,
We are close to the inflection point where people will hold back on their next car purchase waiting for the BEV that fits their needs rather than just buy another ICE. Future are sales are getting Osborned in many markets. Only in the US with its ludicrous obsession with trucks is their going to be any respite from this trend, and that’s only got a few years before they see the same thing.

James said:
“The S.Koreans surely have to watch what happens in China. They also must beware that Chinese companies may soon be flooding new markets with electrified cars.”

Beware that Chinese companies may also soon be flooding new markets with hydrogen fuel cell cars. For example, Great Wall Motor is betting big on hydrogen fuel cell vehicles.

http://global.chinadaily.com.cn/a/201902/26/WS5c749b98a3106c65c34eb69d.html

GM.

They fell for Japan trap of H cars

I don’t understand why they are spending much more on hydrogen than electrification. More than twice on hydrogen investment

Because they know only a certain percentage of the public will purchase an expensive commuter car.

So then H is a no go… do you wanna buy a H prius for $58k?

For the confused ones…the Mirai is a fricking loaded Prius and has a msrp of $58500.

Because the South Korean government has announced a hydrogen strategy for road traffic. They will invest in a hydrogen filling station network along all major highways and have guaranteed the purchase of thousands of FCEV’s for government use. These cars receive quite a generous subsidy, I can’t remember the exact the exact number but I believe it’s in the region of $10.000 per car. It’s unlikely the Korean government will purchase these cars from Japanese manufacturers, so basically it’s a 1-2 between Hyundai and the government, with much of the investment coming from the Korean tax payer.

See for example:
http://www.theinvestor.co.kr/view.php?ud=20180805000171
And there are many other articles about this subject.

Hopefully they don’t catch fire or spontaneously shut off while driving like the rest of Hyundai cars do! Mine did and the shop says they are swamped with more of the same.. it wasn’t a very good experience when my car Hyundai Santa Fe sport shut down and burned the starter on the highway with my 2yr old son in the backseat.

For 2019 and 2020, Tesla is the only available choice in long range EV. Kona, Niro and Soul can’t be purchased. Polestar is a years away.

The Bolt is a weirdo car that doesnt sell. That’s why I bought one. Nobody notices it except ocassional large pickup trucks that tailgate .

Tesla is also the most advanced and best engineered EV on the market to date, the others are all inferior to Tesla and playing “catch up” ., it will take the others longer than anyone can imagine for them to even remotely catch up to Tesla. When it comes to EV’s , for me, it’s Tesla or nothing !

Chevy still makes Bolt EVs with 238 miles of EPA range.

…which it is selling, for the most part, only in CARB states. Meanwhile, demand in such places as S. Korea and Canada goes mostly unmet, because GM can’t sell the car at a profit. And GM has more or less given up on its feeble attempt to sell it as the overpriced Ampera-e in Europe. So GM sells it only in CARB states where it can earn ZEV credits.

Meanwhile, Tesla has far more global demand for the Model 3 than it can meet for years, and will be putting the Model Y into production before long; a car which might have even higher demand than the Model 3!

I keep hoping that other auto makers will start making and selling long-range BEVs in a quantity to rival Tesla, but so far at least, none of them appear to be making any serious plans to do so. Maybe, just maybe Volkswagen is. I hope so, but they have produced so much EV vaporware that it’s hard to take anything they say seriously.

Not only are there other long range BEVs already on sale, but we are only 2 months into the year. Making claims about 2020 is pretty foolish.

Depends on where you live. Model 3 won’t be available in LHD countries for a year, realistically, and Europe will only get the SR Model 3 in 6 months (on Elon Musk time, which probably means a year as well).

Actually they’ve already start producing short range model 3 so it is more a question of how much time before the demande for performance and version run out. It might not be that long if they continue shipping 10’s of thousands of them per mont.

That’s excellent news, I’m going to be spoiled for choice in a couple of years time when I get around to trading in my Kia Niro hybrid.

Let’s hope they plan to make a lot more of them than the Kona EV. In the UK that’s already sold out for the year. Hyundai have stopped taking orders as estimated delivery dates went into next year and all you can do now is put your name down on a waiting list.

Yet another example of a legacy company presenting Tesla with an open goal. With all the problems Tesla has had it would be in big trouble if it had faced competitors that had had even half its ambition. Fortunately for Tesla, the rest’s ambition has been so small it hasn’t mattered.

So Hyundai/Kia is definitely behind Volkswagen who will lead the mass manufacturing of EVs from 2021 on.

7 Billion wasted for fuel cells….

You seem to ignore the fact Hyundai has two pure EVs on the market already. How are they ‘behind’ VW?