Partnerships have become a way for automakers to release new models without some of the associated research and development costs, leading many to pursue joint efforts in recent years. The latest is between General Motors and Hyundai, which recently announced a partnership to develop five new models together, including an electric van.
Most of the resulting vehicles will target the Central and South American markets, with the pair expected to release two trucks, a compact SUV, and a sedan. All four will reportedly be capable of accommodating gas and hybrid powertrains, and they’re expected to launch by 2028. The electric van will be built in the United States starting around that time.
Hyundai will lean on GM’s experience to build the trucks, while it will handle the van and compact model. We don’t know where the pair plans to manufacture those vehicles, but they are targeting 800,000 units per year at full capacity.
This isn’t GM’s first rodeo working with other automakers, but it’s Hyundai’s first partnership on such a large effort. The project will help both companies work more efficiently with pooled resources, and it will give Hyundai a bit more breathing room from tariffs, which could hit it and sister company Kia with billions in additional expenses in 2025.
General Motors hopes to gain smaller vehicles for the U.S., as its lineup has trended heavily toward trucks and SUVs. Both companies should gain a stronger footing in their battle against Chinese automakers.
[Images: General Motors, Kia, Hyundai]
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