By Heekyong Yang and Hyunjoo Jin
SEOUL (Reuters) -Hyundai Motor named Jose Munoz, present U.S. chief and world chief working officer, as co-chief government officer on Friday, marking a uncommon appointment of a international nationwide to a CEO put up at a significant South Korean conglomerate.
The reshuffle on the helm of the world’s third-biggest automaker by gross sales when mixed with affiliate Kia comes as South Korean companies which have invested closely in the USA brace for Donald Trump’s second presidency.
Management change will “enhance global competitiveness” and assist “better prepare for uncertainties in the global business environment,” the automaker stated in a press release.
Hyundai Motor (OTC:) at present has three co-CEOs. Munoz will be a part of Euisun Chung and Lee Dong-seok in addition to Chang Jae-hoon who may even change into group vice chair overseeing the automotive division.
Sung Kim, a former U.S. diplomat who was a part of a staff helping President-elect Trump in his first time period at a summit with North Korean chief Kim Jong Un, was named president overseeing world exterior affairs.
Hyundai with Kia rank second in U.S. gross sales of electrical autos after Tesla (NASDAQ:). They’re bracing for what could possibly be large influence from Trump’s pledge to impose tariffs on imports and minimize subsidies for EVs.
Trump has additionally floated the concept of imposing 200% tariffs on vehicles imported from Mexico, the place Kia operates a manufacturing web site.
Munoz, a Spanish native and U.S. citizen, joined the automaker in 2019 and was previously CEO of Hyundai Motor America. He has been credited with Hyundai’s elevated dedication to electrification and progress in gross sales throughout a number of classes.
“Munoz is appointed as the first non-Korean CEO of Hyundai Motor… He is expected to enhance the company’s global management systems and further elevate its stature as a leading global brand,” the South Korean automaker stated.
“As CEO, Munoz will play a critical role in helping the company navigate potential challenges posed by a second Trump administration,” Kiwoom Securities analyst Shin Yoon-chul stated.
Hyundai has employed a number of former South Korean diplomats in recent times to its “Global Policy Office” in a transfer broadly seen as readying for coverage uncertainty beneath a change in U.S. administration.
It introduced in Sung Kim as an adviser in January to “support Hyundai’s response to global trade and policy and external networking”.
Hyundai Motor has invested $12.6 billion to supply EVs and battery cells within the U.S. state of Georgia – its largest funding exterior South Korea, spurred by incentives that got here with the incumbent administration’s push to shift extra of the EV provide chain to the USA and away from Asia.
Nevertheless, Trump’s transition staff plans to finish a $7,500 shopper tax credit score for EV purchases as a part of broader tax reform laws, Reuters beforehand reported, citing sources.
Munoz was as soon as thought of a possible candidate to take the lead at Japan’s Nissan (OTC:) Motor after the ouster of Carlos Ghosn.