[Hyundai Way Secret⑥] Hydrogen Alliance of the World's 1st and 3rd Largest Car Company CEOs... North America as a Testbed

Hydrogen Tycoons Jeong Eui-seon and Akio Meeting
"Expansion Over Competition" Amid Growth Stagnation
Strengthening Hydrogen Cooperation in North America Expected
Behind the Scenes, Leadership Competition Also

Jose Munoz, Head of Hyundai Motor Company's North America Division and Global Chief Operating Officer (COO), recently attracted attention by meeting with Tatsuo Ogawa, CEO of Toyota Motor Group North America, during the 2nd Korea-US-Japan Economic Conference (TED). This meeting was seen as a prelude to the upcoming summit between Hyundai Motor Group Chairman Chung Eui-sun and Toyota Chairman Akio Toyoda, and it is reported that they also discussed future mobility strategies centered on building a hydrogen ecosystem.

Both companies are regarded as being genuinely committed to establishing a hydrogen ecosystem. Chairman Chung and Chairman Toyoda are considered the most influential figures in the global hydrogen ecosystem.

Chairman Chung views a "hydrogen society" as an "inevitable future." He emphasized long-term hydrogen strategies multiple times at CES, the world's largest consumer electronics show held earlier this year in Las Vegas, USA. The decision to collaborate with their competitor, Japan's Toyota, is interpreted as a move to cement their market-leading position cultivated in the electric vehicle market into the hydrogen era. The cooperation between these two giants is expected to shift the automotive industry's center of gravity from Western societies to East Asia, potentially ushering in an "Asian golden age."

Their meeting is expected to outline the future standards for the hydrogen business. In particular, there is speculation that they will focus on expanding hydrogen vehicle infrastructure. According to SNE Research, global hydrogen vehicle sales in the first half of this year dropped 34.1% year-on-year to 5,621 units. Although both companies possess some of the world's most advanced hydrogen technologies, there is little they can do in a shrinking market. The strategy of the world's first and third largest automakers joining forces to create economies of scale and grow the market is gaining credibility.

With the heads of the two groups in North America meeting, there is anticipation that cooperation in the region could accelerate. Hyundai has already announced plans to expand the hydrogen commercial value chain in North America, focusing on logistics and transportation. In May, Hyundai supplied 30 hydrogen fuel cell trucks through an eco-friendly truck introduction project at the Port of California. Coincidentally, Toyota also established a new hydrogen project base in California that same month. They renamed their existing research and development (R&D) office to the North America "Hydrogen Headquarters (H2HQ)" and reinforced their commitment. This move signals their intention to focus on hydrogen fuel cells and various hydrogen-related products for the hydrogen economy.

Competition for leadership between the two companies is expected to intensify. The role of Hyundai Motor Company President Jang Jae-hoon, co-chair of the global CEO consortium "Hydrogen Council," is also expected to become more important. President Jang previously led a task force team formed with the aim of re-entering the Japanese market, overseeing local market research and strategy development. When announcing Hyundai's re-entry into the Japanese market in 2022, he delivered a fluent presentation in Japanese, earning praise for his deep understanding of the local market and culture.