Hyundai Motor Company has officially broken ground on its new hydrogen fuel cell production facility in Ulsan, South Korea, marking a significant milestone in advancing the country’s position as a global leader in clean energy and hydrogen technology.
The groundbreaking ceremony was attended by Jaehoon Chang, Vice Chair of Hyundai Motor Group; Sungwhan Kim, Minister of Climate, Energy and Environment; and Shinhak Moon, Vice Minister of Trade, Industry and Resources, along with several National Assembly members. Their presence, alongside Ulsan Mayor Doo-gyeom Kim and other local officials, underscored the importance of hydrogen as a national strategic industry and highlighted the strong public-private collaboration driving Korea’s energy transition.
The event also welcomed global hydrogen industry leaders, including Ivana Jemelkova, CEO of the Hydrogen Council, who attended as part of her visit to Korea for the 2025 APEC CEO Summit in Gyeongju — reinforcing international cooperation toward a sustainable, hydrogen-powered future.
“This plant embodies Hyundai Motor Group’s strategic commitment to advancing the hydrogen society transition,” Vice Chair Chang said in his opening remarks. “It will serve as a critical foundation for securing national economic growth momentum and establishing Korea’s leadership in the global hydrogen industry.”
The new facility will occupy 43,000 square meters on the site of a former internal combustion engine transmission plant — a symbolic shift that underscores Hyundai Motor’s pivot toward future mobility.
Scheduled for completion in 2027, the plant will integrate chemical processing and assembly operations with annual production capacity of 30,000 fuel cell units. The facility will operate under Hyundai Motor Group’s hydrogen brand and business platform HTWO brand, which symbolizes ‘Hydrogen for Humanity.’
The plant represents an investment of KRW 930 billion and will produce next-generation hydrogen fuel cells and electrolyzers for various mobility applications including passenger vehicles, commercial trucks and buses, construction equipment and marine vessels.
Advancing Core Technologies
The facility aims to position Hyundai Motor at the forefront of global hydrogen technology through two key products:
- Next-generation hydrogen fuel cell: Hyundai Motor targets enhancing both power output and durability compared to current models while achieving price competitiveness to lead the global market. Fuel cells generate electricity through electrochemical reactions between hydrogen and oxygen, functioning as onboard power generators.
- PEM electrolyzers: The plant will produce high-efficiency polymer electrolyte membrane (PEM) electrolyzers as first production in Korea. These electrolyzers generate high-purity hydrogen from water without carbon emissions — a critical technology for achieving global net-zero targets. Drawing on nearly three decades of fuel cell development expertise, the company has achieved approximately 90 percent localization of electrolyzer components.
The company has already developed an electrolyzer stack and in February completed a 1 MW containerized electrolyzer system that is currently in demonstration operation, producing more than 300 kg of high-purity hydrogen daily. A 5 MW-class large-scale project is currently under development in Jeju, Korea, with the goal of establishing a complete green hydrogen ecosystem.
Advanced Manufacturing Platform
Hyundai Motor plans to operate the new Ulsan hydrogen fuel cell production facility as an advanced manufacturing platform incorporating core technologies from its accumulated human-centered manufacturing expertise.
The plant will extensively deploy robotics technologies to reduce worker strain while enhancing operational efficiency. Advanced monitoring systems will detect even minute safety hazards to protect workers.
Expanding the Hydrogen Ecosystem
The fuel cells produced will be optimized for different applications, from passenger vehicles to commercial trucks, buses, construction equipment and marine vessels.
Beyond fuel cells, Hyundai Motor Group is developing comprehensive solutions across the hydrogen value chain — from resource-circular production to storage, transport and utilization — while building partnerships with governments, global companies and research institutions.
The groundbreaking ceremony is expected to serve as a platform for collaboration among government, local authorities and industry stakeholders, reinforcing a unified approach toward accelerating the hydrogen economy. Hyundai Motor aims to strengthen its global leadership in hydrogen and expand strategic partnerships to support carbon neutrality and ecosystem development.
Attendees at the ceremony viewed multiple generations of fuel cells and electrolyzers, along with hydrogen-powered vehicles including the all-new NEXO SUV, trucks, excavators, vessels, tractors and forklifts — showcasing the extensive applications of hydrogen mobility.
The facility is expected to scale production in line with market growth, contributing to the expansion of the global hydrogen ecosystem and supporting infrastructure development.
At the ceremony, Hyundai Motor and Korean bus manufacturer KGM Commercial signed a Memorandum of Understanding (MoU) for fuel cell supply, highlighting the plant’s pivotal role in advancing Korea’s hydrogen ecosystem.
