Hyundai invests $450 million in Alabama plant expansion
The $450 million expansion adds engine capacity for hybrid and extended-range electric vehicles and positions Montgomery for new Santa Fe and Tucson production.
Governor Kay Ivey joined company officials and state and local leaders Wednesday to celebrate Hyundai Motor Manufacturing Alabama’s announcement that it will invest nearly $450 million to expand production at its Montgomery plant.
“Since its founding in Montgomery 24 years ago, Hyundai Motor Manufacturing of Alabama has become synonymous with cutting-edge design and endless innovation in performance,” Ivey said. “Alabama and Hyundai are a winning team, and this substantial investment to enhance Hyundai’s well-known automotive line will propel our successful partnership to even greater heights. The future of Hyundai in Alabama is brighter than ever.”
HMMA will expand engine production to support hybrid and extended-range electric vehicle technologies. The investment will also prepare the Montgomery plant to produce the refreshed Santa Fe and the all-new Tucson—two important products in Hyundai’s global lineup, according to a news release from Ivey’s office.
“These investments will support new vehicle production, expanded engine manufacturing capabilities and advanced propulsion technologies that provide customers with greater choice and flexibility as the automotive industry continues to evolve,” HMMA Chief Operating Officer Mark Rader said. “Most importantly, these investments represent confidence. Confidence in this facility. Confidence in our workforce. Confidence in our supplier network. And confidence in Alabama.”
The expansion brings HMMA’s total investment to nearly $2.2 billion since production began in 2005.
“Since Hyundai began production in Alabama more than 20 years ago, the company has become an important part of our state’s economic success,” Alabama Department of Commerce Secretary Ellen McNair said. “This latest investment will strengthen our manufacturing capabilities, support the development of advanced automotive technologies and help prepare our workforce for the next generation of vehicles.”
Rader said the project’s benefits will extend beyond Montgomery, creating opportunities across the state and strengthening Alabama’s position as one of the nation’s leading automotive manufacturing centers.
HMMA employs 4,200 people. The plant and its suppliers have an annual economic impact of more than $5 billion. The facility contributes about $100 million in state tax revenue and more than $12 million in local tax revenue each year.
“Hyundai’s continued growth in Montgomery is a tremendous source of pride for this community,” Anna Buckalew, president and CEO of the Montgomery Regional Chamber of Commerce, said. “We have had the privilege of being part of this journey from the beginning and watching HMMA grow into one of the world’s leading automotive operations. Every new investment is a reflection of Hyundai’s continued belief in Montgomery, our people and the partnership we have built together. We are incredibly proud of what has been accomplished here, and we look forward to continuing to earn the next investment and the next chapter of Hyundai’s growth in Montgomery.”
Over the past four years, Hyundai has donated nearly $1 million annually to regional charities, public school systems and quality-of-life initiatives across the River Region and beyond.
“Hyundai’s investment in Montgomery is a partnership that has helped shape our city’s economy for more than two decades,” Montgomery Mayor Steven Reed said. “With more than 4,200 team members, HMMA has created opportunities for thousands of families while demonstrating a commitment to the community beyond its plant. This latest investment reflects Hyundai’s confidence in our city and the people who have made its success possible. We look forward to building on that success and creating even more opportunities for Montgomery residents.”
Montgomery County Commission Chairman Doug Singleton said Hyundai is a powerful example of what happens when a community plans for the future and works together to make it possible.
“Long before the first vehicle rolled off the line, leaders were investing in infrastructure and preparing this community for opportunities they could not yet see,” Singleton said. “We are benefiting from those decisions today. Hyundai has also been a true community partner, giving back and investing in the people and organizations that make Montgomery County stronger. This expansion is another reminder that our responsibility is to keep working together and making the investments that will position Montgomery County and the entire region for the next generation of growth.”
