Hyundai Motor-Toyota Honeymoon Deepens, Leaders Focus on Building Personal Ties

Hyundai Motor-Toyota to Host Domestic Motorsports Event on 27th
Chung Euisun and Toyoda Chairman Build Friendship Through Motorsports
Hydrogen Ecosystem Construction, Electric Vehicle and Hybrid Technology Partnership
Possibility of Cooperation Between Both Companies... Expectation for Activation of Both Companies' PI Marketing

Hyundai Motor Group Chairman Chung Eui-sun and Toyota Motor Corporation Group Chairman Akio Toyoda appear to be strengthening their personal friendship ahead of their meeting next month. As the heads of the world's first and third largest automotive companies form a close relationship, there is even anticipation that they could establish a Korea-Japan-led global standard for the future mobility era.

The medium the two leaders have chosen to build their friendship is motorsports. Although they are clear competitors in the global automotive industry, personally they share a common interest as 'car enthusiasts.' The motorsports event co-hosted by Hyundai and Toyota on the 27th of next month in Yongin, Gyeonggi Province, is part of this effort to strengthen cooperation between the two companies. It is known that the event was enthusiastically promoted as it coincides with Chairman Toyoda’s visit to Korea, who is known as a 'racing maniac,' and the Hyundai N Festival.

Akio Toyoda, Chairman of Toyota Group (left in photo), Chung Eui-sun, Chairman of Hyundai Motor Group [Photo by each company]

The reason Chairman Toyoda’s visit is receiving significant attention is the high possibility of an official meeting between these two giants who drive the global automotive industry. Given that this is his first visit to Korea in 12 years, industry insiders are focusing on the potential for messages that could present a new direction for the global mobility industry.

There is also the possibility of accelerating the establishment of a global hydrogen ecosystem and active technological partnerships between the two companies in electric and hybrid vehicles. Discussions may include joint infrastructure development for hydrogen fuel cell commercial vehicles in the North American market or exchange and partnership plans involving Hyundai’s electric vehicle technology and Toyota’s hybrid (rear-wheel) technology.

The two leaders’ usual personalities, as revealed through their external activities, are quite different. While Chairman Chung values a quiet 'stillness in motion (靜中動)' approach that does not seek the spotlight, Chairman Toyoda is much more aggressive and upfront. He is skilled at building a positive brand image through active CEO marketing (PI - President Identity). He has shown himself driving new Lexus models on YouTube, posted vlogs featuring his participation in racing events and meals at events, and in 2018, he even worked as a radio DJ every Saturday on a local broadcasting station.

The element Chairman Toyoda most actively uses in his PI marketing is motorsports. Using the pseudonym ‘MORIZO,’ he personally participates in major global motorsports competitions. In the early 2000s, he received direct racing training from Hiroshi Naruse, a Toyota Master Driver, and later became a Toyota Master Driver himself, teaching others. Showing the group owner’s genuine passion for cars excited Toyota motorsports fans and increased brand loyalty to Toyota.

Following this meeting with Chairman Toyoda, it is predicted that Chairman Chung may also focus on bold PI marketing. Although their outward personalities differ, the two share significant commonalities. Chairman Toyoda is the great-grandson of Sakichi Toyoda, the founder of the Toyota Group, and Chairman Chung is the grandson of Chung Ju-yung, the founder of the Hyundai Group. Not only their backgrounds but also their concerns about leading massive automotive groups that have risen to global prominence while responding to rapidly changing market environments are similar. Since Japan leads in the history of motorsports, Chairman Chung is expected to seek advice from Chairman Toyoda on brand marketing activities utilizing this field.

Hans Greimel, Editor of Automotive News Asia, said, "I hope Chairman Chung Eui-sun takes on a public role as the frontman of the brand representing the company," adding, "He could learn from Chairman Toyoda, who has a public approach that can personally engage interest in the brand."