Hyundai Motor Group announced it will invest nearly KRW 9 trillion, or about $6.3 billion, to establish a large-scale innovation hub in the Saemangeum area of Gunsan City, South Korea, beginning in 2026. The initiative follows the signing of a memorandum of understanding with the South Korean government and Jeonbuk State and is positioned as a cornerstone of the country’s transition toward robotics, artificial intelligence, and hydrogen-based energy systems.
The project is part of the group’s broader plan to invest KRW 125.2 trillion in Korea from 2026 through 2030. The Saemangeum hub will focus on five major pillars: AI data center infrastructure, a robotics manufacturing cluster, a polymer electrolyte membrane electrolyzer plant for hydrogen production, solar power infrastructure and the development of an AI hydrogen smart city.
The largest portion of the investment, KRW 5.8 trillion, will fund a high-capacity AI data center equipped with up to 50,000 GPUs, to be developed in phases. The facility will process large-scale datasets for autonomous driving, robotics, and software-defined vehicle development, while also supporting smart factory implementation. The integrated platform is designed to accelerate research and product development across the group’s value chain.
An additional KRW 400 billion will go toward a robotics manufacturing cluster capable of producing approximately 30,000 units annually, including foundry operations and a component supply zone. The cluster will incorporate autonomous guided vehicles and autonomous mobile robots in its logistics systems and will include a Robot Application Center for AI-based validation and training prior to deployment.
To support Korea’s hydrogen ambitions, the group will invest KRW 1 trillion in a 200-megawatt-class PEM electrolyzer plant for large-scale clean hydrogen production. The facility will leverage local renewable energy resources and support the development of hydrogen refueling stations and distribution networks. The group plans to expand electrolyzer capacity domestically to 1 gigawatt and has already begun construction of its Ulsan fuel cell plant, targeted for completion in 2027.
Solar power infrastructure, backed by KRW 1.3 trillion in investment, will provide energy for data-intensive and energy-intensive operations. The group aims to develop gigawatt-scale solar capacity by 2035 to support its carbon neutrality and RE100 commitments.
The remaining KRW 400 billion will fund the creation of an AI hydrogen smart city that integrates robotics, AI and hydrogen technologies into transportation, logistics, safety systems and urban services. The initiative is structured around what the group calls the D.E.S.I.G.N. framework, encompassing demand, experience, supply chain, infrastructure, government alignment and network partnerships.
Hyundai Motor Group estimates the Saemangeum investment will generate KRW 16 trillion in economic impact and create approximately 71,000 jobs across direct, indirect and induced employment. The company said the concentration of advanced facilities will help position the region as a global innovation hub and strengthen Korea’s long-term industrial competitiveness.
At CES 2026, the group unveiled its AI robotics strategy aimed at leading the emerging physical AI sector and highlighted collaborations with industry leaders including NVIDIA and Google DeepMind. The Saemangeum project represents a major execution step in that strategy, combining automotive manufacturing expertise with advanced AI and hydrogen technologies.
KEY QUOTE:
“What we’re building in Saemangeum will reshape not just a region, but Korea’s industrial future. Hyundai Motor Group brings together the manufacturing excellence, AI capabilities, and hydrogen energy expertise needed to establish a truly advanced industrial ecosystem. This is how we translate our commitment to ‘Progress for Humanity’ into reality.”
Jaehoon Chang, Vice Chair Of Hyundai Motor Group
