On September 18, 2025, Hyundai Motor Group reaffirmed its ambitious commitment to the U.S. automotive market, confirming a $2.7 billion expansion of its Ellabell, Georgia, manufacturing facility. This announcement comes just weeks after an immigration raid at the site delayed the opening of a new electric vehicle (EV) battery plant, but company leaders and state officials insist that the broader expansion remains firmly on track.
The Ellabell plant, located just west of Savannah, is set to see its annual production capacity jump by 200,000 vehicles over the next three years, ultimately reaching 500,000 vehicles per year. According to the Associated Press and Los Angeles Times, Hyundai plans to produce 10 different models of electric and hybrid gas-electric vehicles at the Georgia facility—up from the current two—solidifying the state’s role as a crucial hub in the company’s global electrification strategy. This marks a significant step toward Hyundai’s goal of manufacturing 5.6 million vehicles globally each year by 2030, with 60% of those being electric or hybrid-powered.
Perhaps most notably for American consumers, the expansion will introduce the first mid-sized pickup truck produced at the Georgia facility. This addition joins the Santa Cruz compact pickup, which Hyundai began selling in 2021, and signals the company’s intent to compete in one of the U.S. market’s most fiercely contested segments. "We are committed to expanding and localizing in the United States," wrote Brent Stubbs, chief administrative officer of the Ellabell site, in an opinion piece for the Atlanta Journal-Constitution. "Our investments in America are part of a long-term strategic plan."
The expansion is not without its complications. In late August, an immigration raid at the battery plant construction site resulted in the arrest of more than 300 South Korean citizens, according to Los Angeles Times. The incident sparked diplomatic tensions between South Korea and the United States and led to a two- to three-month delay in the battery plant’s opening, now expected in the first half of 2026. Nevertheless, Hyundai CEO José Muñoz and company spokesperson Michael Stewart have both reiterated that the main expansion remains on schedule. "This situation doesn’t change our plans to continue expanding and localizing in the United States," Stubbs emphasized in his statement.
Georgia’s government has played a pivotal role in supporting Hyundai’s investment. State and local governments have pledged $2.1 billion in tax breaks and incentives to facilitate the expansion. Governor Brian Kemp, speaking at a recent ceremony marking the groundbreaking of a separate electric vehicle plant, expressed confidence in the state’s business climate and ongoing efforts to resolve visa issues for foreign workers. "I’ve had good conversations with companies that are here doing business in Georgia, companies that are looking to do business here," Kemp told reporters. "And I’ve had good conversations with people in the White House about the visa issue."
At present, Hyundai and its affiliates employ 3,129 workers at the Ellabell site. The company plans to boost that number to at least 8,500 by the end of 2031, reflecting both the scale of the expansion and its potential impact on the local economy. The $2.7 billion investment is part of a much larger commitment to the region. According to Stewart, total investment in the Georgia auto plant will reach $10.3 billion—not including the $4.3 billion Hyundai and joint-venture partner LG Energy Solution are spending on the battery plant.
Hyundai’s U.S. strategy is closely tied to its global ambitions. The Georgia expansion is the largest piece of a plan to boost worldwide production by 1.2 million vehicles annually. That includes 250,000 additional vehicles out of Pune, India; 200,000 more at the company’s Ulsan, South Korea, plant; and parts for another 250,000 vehicles assembled in Saudi Arabia, Vietnam, and North Africa. These moves are part of a sweeping $55.66 billion global investment by 2030, as outlined at the company’s CEO Investor Day in New York.
Hyundai is also responding to the realities of U.S. trade policy. In a recent press release, the company adjusted its 2025 operating profit margin to approximately 7%, down from previous targets, citing a 25% tariff rate that increases costs on cars and components not made domestically. Currently, only about 40% of Hyundai’s U.S. sales are from vehicles produced in the United States, but the company aims to increase that figure to over 80% by 2030, with domestic content rising from 60% to 80%.
Beyond traditional vehicles, Hyundai is betting big on technological innovation. By 2027, the company plans to introduce extended-range electric vehicles capable of traveling more than 600 miles on a single battery-gasoline hybrid system. The Genesis brand will launch hybrid models, including the all-new Palisade Hybrid, and Hyundai will roll out a cloud-based battery management system. In 2028, the Hyundai Motor Group Metaplant America (HMGMA) will expand by another 200,000 units of annual capacity, adding 3,000 new jobs and reaching the 500,000-vehicle milestone for hybrid and EV models produced annually in Georgia.
Despite rumors circulating online, Hyundai has not canceled its battery plant project in Georgia. In fact, the company has broadened its investment agreement, announcing a $5 billion battery joint venture in Cartersville, Georgia, and additional expansions at the Kia Corp. plant in West Point, Georgia, a steel mill in Donaldsonville, Louisiana, and a robotics hub in Montgomery, Alabama. This integrated approach underscores Hyundai’s determination to build a robust manufacturing and innovation ecosystem in the United States.
The immigration raid, while disruptive, may ultimately spur changes that benefit Hyundai and other foreign investors. As Governor Kemp suggested, the incident could lead to smoother pathways for South Korean employees to obtain legal permission to work in the United States, especially as the company scales up its operations. Even former President Donald Trump weighed in, stating on September 19, 2025, that foreign workers are "welcome" and that the U.S. should take cues from other high-tech industries when it comes to staffing advanced manufacturing facilities.
As Hyundai pushes forward, the company’s plans reflect both the challenges and opportunities of operating in a rapidly changing global auto industry. The Georgia expansion is a linchpin in Hyundai’s electrification roadmap, promising new jobs, cutting-edge vehicles, and a deeper integration into the American manufacturing landscape. All eyes will be on Ellabell as Hyundai seeks to deliver on its promises and cement its place in the next era of the automotive world.
