New Hyundai Motor CEO stresses flexibility in navigating uncertainties in US

Los Angeles, Nov 22 Jose Munoz, the global chief operating officer of Hyundai Motor who has been tapped as the company's next CEO, has stressed the importance of flexibility in managing its product portfolio in the United States amid looming uncertainties under a second Donald Trump administration.

Last week, Munoz was appointed to serve as the automaker's CEO starting next year as part of major executive appointments across units within Hyundai Motor Group, reports Yonhap news agency.

The appointment of the company's first non-Korean CEO comes as Hyundai and its affiliate Kia Corp. brace for a tumultuous future in their American operations, especially as Trump's transition team reportedly aims to get rid of the electric vehicle (EV) tax credit program, part of the Inflation Reduction Act (IRA) introduced under the incumbent Joe Biden administration.

"The key for us is flexibility and being able to adjust to what the customers want," Munoz told Korean reporters at the Los Angeles Auto Show.

Munoz said: "So if tomorrow, there is a change in regulation, they will also have to consider all the changes. That's why, to me, the key to succeeding in this environment is flexibility," adding, "The strength of our company is to react quickly."

The COO stressed that Hyundai's latest investment plan in America was decided during the first Trump administration and that the decision to build a new plant in Georgia was made before the introduction of the IRA.

"If the (EV) incentives are abolished, and nobody knows it may or may not happen, but if they are abolished, it doesn't mean our plans are going to change," Munoz said.

He noted the company has decided that the Hyundai Motor Group Metaplant America in Georgia was going to build not only EVs, but also other types of cars, such as hybrids and plug-in hybrids, over a year ago.

"If there is one production system in the world which is flexible, this is the Hyundai one. In one of our plants, like in Alabama, we produce six different models in one line. Most of our competitors produce one model in one line," the COO said.

Munoz explained that one of the strong characteristics of Hyundai was its culture of "pali pali," which translates to "quickly quickly" in English.

"If we plan ahead but also maintain a very strong pali pali spirit, I think we can take advantage (of the market conditions) better than others. This is a very big strength of Hyundai and also Koreans in general," he said.