Hyundai Motor Group to Build Robotics, AI, Hydrogen Energy Hub in Saemangeum Area
Strikes MOU with Korean government and Jeonbuk State to invest nearly 9 trillion won, starting 2026
(from left) Dignitaries, including Presidential Chief of Staff for Policy Kim Yong-beom,; Kim Sung-hwan, Minister of Climate, Energy and Environment; Kim Jung-kwan, Minister of Trade, Industry and Resources; Bae Kyung-hoon, Deputy Prime Minister and Minister of Science and ICT; President Lee Jae-myung; Hyundai Motor Group Chmn. Chung Eui-sun; Kim Yun-duk, Minister of Land, Infrastructure and Transport; Kim Eui-keum, Administrator of the Saemangeum Development Investment Agency; and Kim Kwan-young, Governor of Jeollabuk-do attend a ceremony to strike an MOU to establish an innovation hub in the Saemangeum area of Gunsan City on Feb. 27. (Photo on the courtesy of the Presidential Office)
Hyundai Motor Group has selected the Saemangeum, a reclaimed area of Jeollabuk-do, as a core center of the future industries encompassing AI, robots and hydrogen, and disclosed a plan to invest 9 trillion won.
It is the first part of a mid- to long-term plan to invest a combined 125.2 trillion won in Korea, announced by the business group last November.
Starting next year, the business group will build an AI datacenter, a robot production center, water electrolysis and photovoltaic power generation facilities.
Hyundai Motor Group signed a Memorandum of Understanding (MOU) with the government and Jeollabuk-do to establish an innovation hub in the Saemangeum area of Gunsan city on Feb. 27.
This strategic move positions the business group as a leader in robotics, AI and energy solutions, with plans to invest approximately 9 trillion won beginning in 2026 to construct a cutting-edge industrial complex.
Through this initiative, the Group aims to pioneer the seamless integration of advanced AI and hydrogen energy transformation to advance human progress.
¡°What we¡¯re building in Saemangeum will reshape not just a region, but Korea¡¯s industrial future.
Hyundai Motor Group brings together the manufacturing excellence, AI capabilities, and hydrogen energy expertise needed to establish a truly advanced industrial ecosystem.
This is how we translate our commitment to ¡®Progress for Humanity¡¯ into reality,¡± said Chang Jae-hoon, Vice Chair of Hyundai Motor Group.
What is Hyundai Motor Group Planning in Saemangeum?
The Group will establish a major innovation hub dedicated to advancing robotics, AI, hydrogen energy, solar power and AI-driven smart city solutions.
A significant portion of the investment will focus on new businesses based on these technologies, contributing to the development of Korea¡¯s future industrial competitiveness.
Through expanded investment across various regions, the Group aims to stimulate local economic growth and lay the foundation for the sustainable growth of Korea and its mobility industry.
Saemangeum is a strategic location for this transformative project due to its abundant renewable energy resources and comprehensive transportation infrastructure, including rail, port and airport connectivity.
This investment is a core initiative within the Group¡¯s broader plan to invest 125.2 trillion in Korea from 2026 to the end of 2030, announced last year.
The signing ceremony was attended by key government officials and Hyundai Motor Group executives, including President Lee Jae-myung; Bae Kyung-hoon, Deputy Prime Minister and Minister of Science and ICT; Kim Yun-duk, Minister of Land, Infrastructure and Transport; Kim Jung-kwan, Minister of Trade, Industry and Resources; Kim Sung-whan, Minister of Climate, Energy and Environment; Kim Eui-keum, Administrator of the Saemangeum Development Investment Agency; and Kim Kwan-young, Governor of Jeollabuk-do as well as Hyundai Motor Group Representatives including Chung Eui-sun, Executive Chair; Chang Jae-hoon, Vice Chair; Seo Gang-hyun, President and Head of Corporate Planning Office; and Sung Kim, President and Head of Strategy and Planning Division; Jung Jun-cheul.
The Group targets the AI data center and solar power infrastructure to break ground in 2027 and reach completion by 2029.
The PEM electrolyzer plant is slated to break ground the same year, commence operations in 2029, and undergo phased capacity expansion thereafter.
The robotics cluster is expected to begin construction in 2028 and be completed in 2029. The Group is in dialogue with the funding partners, including the Korea Development Bank, to structure financing for the project.
How Will the AI Data Center Advance Physical AI?
A high-capacity AI data center is central to the strategy, serving as the essential infrastructure for implementing physical AI across autonomous driving and robotics.
Key features will include GPU Computing Power: Phased development scaled to 50,000 units.
Massive Storage: For vast amounts of data required for core information learning, Software-Defined Vehicle (SDV) development, and smart factory implementation.
Integrated Platform: Creating a virtuous cycle that enhances the speed and stability of research and product development by leveraging critical data across the entire value chain.
By consolidating and processing large-scale learning requirements across these multiple technological domains, the facility will establish a foundation for accelerating physical AI innovation.
What Will the Robotics Manufacturing Cluster Entail?
To implement customer-tailored robotics, the Group will establish a comprehensive robotics manufacturing cluster designed to translate its manufacturing expertise and proven innovation capabilities into advanced production systems.
The cluster will manufacture approximately 30,000 units annually, featuring a foundry operation plant and a component supply zone.
Leverage the Group¡¯s manufacturing solutions and smart logistics powered by autonomous guided vehicles (AGVs) and autonomous mobile robots (AMRs).
Verify and train robots at the Robot Application Center — to be established in Korea — using AI-based software validation before deployment, ensuring continuous improvement toward smarter, more reliable systems.
Support automotive component suppliers¡¯ transition into robotics components manufacturing, strengthening the global competitiveness of Korea¡¯s domestic robotics industry.
How Will Hyundai Motor Group Catalyze Korea¡¯s Hydrogen Economy?
Capitalizing on the region¡¯s renewable energy resources, the Group will construct a 200 MW-class PEM electrolyzer plant to produce clean hydrogen at scale, establishing Korea¡¯s energy self-sufficiency and accelerating the nation¡¯s transition to a hydrogen economy.
The facility will deliver large-scale hydrogen production leveraging on-site renewable energy resources.
Supporting hydrogen supply infrastructure including refueling stations and distribution networks.
Direct supply capability to diverse future mobility solutions including trams, buses and demand-responsive transport (DRT) services.
Foundation for establishing integrated hydrogen ecosystem across production, supply, storage and utilization.
To accelerate Korea¡¯s broader transition to a hydrogen economy, the Group plans to systematically expand electrolyzer capacity across regions, targeting 1 GW total capacity domestically.
It has already commenced construction of its Ulsan Fuel Cell Plant for manufacturing PEM electrolyzers and hydrogen fuel cell components, with completion targeted for 2027.
The Group¡¯s proprietary PEM electrolyzer technology, developed through domestic R&D efforts, has achieved over 90 percent localization — a significant milestone establishing Korea¡¯s technological independence and export capabilities in green hydrogen production.
Through these interconnected investments, the Group is building a comprehensive hydrogen ecosystem that positions Korea as a global leader in clean energy production and hydrogen-powered mobility.
How Will the Innovation Hub Be Powered Sustainably?
To power these transformative initiatives and ensure operational sustainability, the Group will develop a gigawatt-scale of solar power capacity by 2035.