The Hyundai Motor Group said it will invest $21 billion in the United States from 2025 to 2028.

That includes $9 billion to establish an annual production capacity in the U.S. of 1.2 million vehicles across its brands Hyundai, Kia, and Genesis.

The company will also pour funding into improving its production facilities, including Hyundai Motor Manufacturing Alabama and Kia Autoland Georgia.

Hyundai is dedicating $6 billion to using local sources for automotive components – including core parts for electric vehicles (EVs), such as battery packs. The company said it plans to form an “auto cluster” following expansion of its production facilities, as well as strengthening logistics to ensure supply chains and investing in steel production in the U.S.

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Hyundai Steel, the Group’s steel affiliate, will construct an Electric Arc Furnace (EAF) steel mill in the state of Louisiana, capable of producing 2.7 million tons of steel annually. This facility will produce low-carbon steel sheets using the abundant supply of steel scrap in the U.S. with the aim of enhancing the Group’s agility and flexibility in response to external uncertainties.

Hyundai also will invest $6 billion to drive innovation and expand strategic partnerships with U.S. companies in areas including autonomous driving, robotics, artificial intelligence (AI), and advanced air mobility (AAM).

Key initiatives include:

• Collaborating with Boston Dynamics to expand the U.S. ecosystem for robotics components and establish a mass-production system

• Partnering with NVIDIA to accelerate the development of AI solutions for future mobility, including autonomous driving and robotics

• Advancing R&D with Supernal, the Group’s US affiliate for AAM business, to commercialize an eVTOL vehicle by 2028

• Supplying robotaxis to Waymo as part of its strategic partnership with Hyundai Motor Company, and co-developing autonomous driving services with Aptiv

• Investing potential startups through venture capital and other funding mechanisms to support U.S. startups specializing in mobility, robotics, and AI

As part of its $6 billion commitment, the Group will also invest in energy infrastructure projects to secure new business opportunities and contribute to the development of sustainable energy generation, including: