Hyundai is set to announce a $20 billion investment in United States onshoring, which includes a $5 billion steel plant in Louisiana, according to people familiar with the plans.
The plant will employ around 1,500 people and produce next-generation steel for use in Hyundai’s U.S. auto plants, specifically for electric vehicle manufacturing.
The $20 billion investment is expected to be announced on Monday at the White House, with President Donald Trump, Hyundai Chairman, Euisun Chung, and Louisiana Gov., Jeff Landry in attendance.
The announcement will highlight the $5 billion steel plant in Louisiana and its role in supporting Hyundai’s U.S. electric vehicle production.
The South Korean automaker’s announcement follows a trend of international conglomerates rushing to avoid tariffs and a potential trade war ahead of President Trump’s April 2 tariff deadline.
In the past two months, major foreign companies like Taiwan’s TSMC and Japan’s Softbank have visited the White House to unveil substantial U.S. onshoring plans, with Hyundai’s $20 billion investment being a key part of this movement.
Hyundai Motor CEO José Muñoz recently told Axios that the “best way for Hyundai to navigate tariffs is to increase localization.”
Hyundai, a leading seller of electric vehicles in the U.S., competes directly with Tesla.
The company currently operates two major automotive plants in Alabama and Georgia.
On Monday, Hyundai is expected to announce the opening of a third plant, also in Georgia.
South Korea is one of the countries with which the U.S. has a trade deficit. In early March, President Trump criticized South Korea for imposing high tariffs on U.S. exports, claiming they were four times higher than U.S. tariffs, however Seoul disputed this claim of imbalance.
In 2024, South Korea’s effective tariff rate on U.S. imports is 0.79%, as outlined by the free trade agreement between the two countries, according to the South Korean government.
