Posco Int'l auto part subsidiary to supply EV motor cores to Hyundai

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Posco Int'l auto part subsidiary to supply EV motor cores to Hyundai

Published: 08 Jun. 2023, 17:55 Updated: 08 Jun. 2023, 19:19

A mock-up of a hydrogen fuel cell car displayed at Posco Mobility Solution's headquarters in Cheonan, South Chungcheon [POSCO INTERNATIONAL]

Posco International’s auto part subsidiary will supply electric vehicle (EV) motor cores to Hyundai Motor, the parent company said Thursday.

Posco Mobility Solution inked a supply deal with Hyundai Motor to supply motor cores for 2.5 million units of the carmaker’s high-end EVs from 2025 to 2034, according to Posco International’s regulatory filing.

Posco International, a trading company, controls Posco Mobility Solution.

Posco Mobility Solution has previously signed motor core supply deals with Hyundai Motor, for 950,000 units of electric sport utility vehicles (SUVs) in January and 3.4 million units of next-generation hybrid SUVs in November last year.

With the addition of the latest supply deal, Posco clinched orders for a total of 6.85 million units of motor cores from Hyundai, which will be delivered between 2025 and 2034.

Motor cores are key components for EV motors, along with batteries.

Posco International aims to secure global production capacity for over 7 million units of motor cores by 2030. The company currently has local manufacturing plants with a combined capacity of 2 million units in Cheonan and Pohang.

Posco International broke ground for a new plant in China with an annual capacity of 900,000 units in March last year, which is scheduled for completion by the latter half of the year.

Another factory with a 1.5-million-unit capacity in Mexico will begin commercial operation in the second half of the year as well. In Europe, Posco International plans to break ground in Poland this year and begin production in 2025.

BY SHIN HA-NEE [shin.hanee@joongang.co.kr]