Hyundai Has Big Plans To Battle The Chip Shortage

一个t the recent Consumer Electronics Show, Hyundai's Global Chief Operating Officer, Jose Munoz, was on hand to answer media questions. Since the ongoing global semiconductor shortage continues to haunt the automotive industry, Munoz had quite a bit to say about that.

一个ccording to Munoz, Hyundai cannot afford to depend on external factors to control its destiny. "So, all OEM groups are making efforts to be self-dependent. And this is not an exception for us," he told reporters in Las Vegas.

To date, Hyundai hashandled the shortage better than mostby prioritizing products that are in demand. Unfortunately, this strategy is only relevant in third-world countries, where the popular models require fewer chips.

In the USA, it's a different story. TheTucson,Santa Fe, andSanta Cruzare Hyundai's big sellers, not to mention the Genesis brand tripling its sales over the last year. These are all feature-heavy cars that require thousands of chips. In short, Hyundai is growing in the SUV, EV, and luxury segments.

"We have now the best portfolio we've ever had to be very competitive in the US market based upon these three big trends of the market," said Munoz.

Hyundai's strength lies in its various manufacturing arms. In addition to building cars, it also makes therobots that build cars, and it's currently investing billions of dollars inhydrogen plants.

"Having our industrial power, I think, is a key strategy to try to localize the production of chips. Not this year, because, as you know, this is a big picture that takes quite a lot of time and big investment to increase the production of chips," said Munoz.