GM, Hyundai to Explore Collaboration on Vehicles and Clean Energy Tech

NEW YORK, NY / Seoul, South Korea - General Motors (NYSE:GM) and Hyundai Motor (005380.KS) have signed a memorandum of understanding to explore collaboration on vehicle development, manufacturing, and clean energy technologies.

The non-binding agreement aims to leverage the scale and strengths of both automakers to reduce costs and accelerate the development of new vehicles and technologies.

Potential areas of cooperation include co-development and production of passenger and commercial vehicles, internal combustion engines, and electric and hydrogen technologies.

The companies will also investigate opportunities for combined sourcing in areas such as battery raw materials and steel.

GM Chair and CEO Mary Barra said the partnership could make vehicle development more efficient by driving greater scale and supporting disciplined capital allocation.

Hyundai Motor Group Executive Chair Euisun Chung stated the collaboration could enhance competitiveness in key markets and vehicle segments while driving cost efficiencies.

Assessment of opportunities and progression towards binding agreements will begin immediately, according to the press release.