Hyundai Motor CEO Jose Munoz has signaled the company may expand production in the United States to respond to tariffs.
According to Bloomberg News, Munoz told reporters in Milan, Italy, on April 20 local time that “tariffs are creating a burden” and that “in the short term, it’s really difficult.”
He said increasing the number of vehicles built in the United States could help avoid added costs. Hyundai produces about half of the vehicles it sells in the U.S. locally, while the rest are imported and face a 15% tariff, he said.
“We need to make efforts to minimize costs,” Munoz said, adding that one of the “easiest and most direct” ways is to speed up localization.
He said Hyundai would aggressively cut costs and adjust prices to offset the immediate financial impact. Munoz also said the war in Iran is causing significant disruption in the Middle East, Hyundai’s most profitable market, affecting both demand and logistics.
* This article has been translated by AI.
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