(March 20): Hyundai Motor Co’s chief executive officer shrugged off uncertainties around President Donald Trump’s approach towards electric vehicles (EVs) and domestic production, saying the company’s “localisation strategy” in the US will “help mitigate the impact of any potential policy change”.

Jose Munoz, fronting shareholders at the South Korean automaker’s annual general meeting in Seoul on Thursday, also defended Hyundai’s decision to plow billions of dollars into the US, maintaining that the “decision to make this investment was made during the first Trump administration”.

Hyundai is on the cusp of officially opening a huge factory in the state of Georgia. It will manufacture the Ioniq 5 EV, which is already on sale, and will also produce the Ioniq 9 EV. Preparation to add hybrid production is also underway. Hyundai and its partners SK On Co and LG Energy Solution Ltd are investing around US$12.6 billion (RM55.85 billion) in the assembly plant and two battery joint ventures to enable additional capacity.

The shareholder meeting was Munoz’s first as CEO since taking the reins earlier this year. He’s the first foreign national to helm the automaker and fronted a largely Korean crowd.

While Trump earlier this month exempted automakers from tariffs on vehicles made in Mexico and Canada for one month, there’s still a degree of unpredictability as to what levies may ultimately be imposed. Hyundai’s sister brand Kia has a plant in Mexico with a capacity of 400,000 vehicles. 

The US is a key market for Hyundai. It sold a record 912,000 vehicles there last year for a 5.7% market share.

In Europe, Hyundai will “respond to environmental regulations by introducing new EV models like the Casper and Ioniq 9 and introducing compliant engines,” Munoz said. The company is also establishing a completely knocked down production base in Saudi Arabia to serve the Middle East.

China, where Hyundai has a less than 1% market share, remains a “challenge for most automakers”, Munoz said. Still, Hyundai will introduce new EVs tailored for Chinese consumers in the near term, he said.

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