Hyundai and Kia Plans Major Investment Plan

Hyundai Motor Company is the owner of both the Kia and Hyundai car brands. We’ve already talked at length about the growing strength we foresee in the world’s fifth largest automaker in one of latest editorials, and now a massive investment plan, worth $12.2 billion has been announced, covering both development of new technologies, but also the improvement of existing manufacturing facilities.

According to Automotive News, almost $4.4 billion of this will go to the R&D department in order “to accelerate the development of eco-friendly and fuel-efficient vehicles”. Hyundai and Kia are among the most active companies out there when it comes to efforts directed at meeting the new CAFE regulations.

Another $2.6 billion will be used to build new manufacturing facilities in South Korean and other some overseas facilities. This is because Hyundai and Kia expect increased demand in 2012 of up to 7 million cars, up from the 6.5 million in 2011.