Auto giant to build AI data center, robotics cluster, hydrogen city from 2026
President Lee Jae-myung (right) and Hyundai Motor Group Executive Chair Chung Euisun attend the auto giant’s investment agreement ceremony held at the Saemangeum Convention Center in Gunsan, North Jeolla Province, Friday. (Yonhap)
Hyundai Motor Group will invest 9 trillion won ($6.27 billion) to build a large-scale advanced industry hub in Saemangeum, North Jeolla Province, accelerating its shift to becoming a future technology company centered on robotics, artificial intelligence and hydrogen energy.
President Lee Jae Myung welcomed the investment Thursday, calling it a transformative development for the region.
“This will completely reshape the economic map of the (southwestern) Honam region,” Lee said at the investment agreement ceremony held at the Saemangeum Convention Center in Gunsan. “I sincerely welcome Hyundai Motor Group’s large-scale investment in Saemangeum.”
Lee added that logistics and industrial robots produced at the new facilities would be linked with the AI data center for continuous learning, positioning Saemangeum as a future city where robotics is embedded in everyday life.
Hyundai Motor Group signed a memorandum of understanding with the government and the North Jeolla provincial administration to foster robotics and hydrogen industries and establish an “AI hydrogen city” in the reclaimed coastal zone.
Starting in 2026, Hyundai will develop a 1.12 million-square-meter site into an integrated value chain spanning an AI data center, robotics manufacturing and parts cluster, 200-megawatt water electrolysis plant, gigawatt-scale solar power facilities and a smart hydrogen-powered city.
The investment forms a key part of Hyundai’s previously announced 125.2 trillion won domestic investment plan and is expected to generate about 16 trillion won in economic impact and create roughly 71,000 direct and indirect jobs.
At the core of the project is a 5.8 trillion won AI data center, which will gradually scale to accommodate up to 50,000 graphics processing units. The facility will process and store vast data required for autonomous driving, robotics and software-defined vehicle development, supporting Hyundai’s broader “physical AI” ambitions.
Hyundai aims to build a closed-loop system in which data collected across manufacturing, logistics and sales operations is used to train AI models and then reapplied to products and services, accelerating development cycles and improving reliability.
The group will also invest 400 billion won to establish a robotics manufacturing and components cluster with annual capacity of up to 30,000 units. The facility will incorporate smart logistics systems based on automated guided vehicles and autonomous mobile robots. It will also serve as a contract manufacturing base for small and medium-sized firms, helping local suppliers expand into robotics and reduce dependence on imported core components such as motors and sensors.
To anchor its hydrogen strategy, Hyundai will construct a 200-megawatt water electrolysis plant worth 1 trillion won, using renewable electricity generated in Saemangeum to produce clean hydrogen. The hydrogen will supply nearby refueling stations and power mobility solutions including trams, buses and demand-responsive transport services.
The group plans to expand domestic electrolysis capacity to 1 gigawatt in the future. It is also building a hydrogen fuel cell plant in Ulsan, scheduled for completion in 2027, to strengthen the supply chain for hydrogen components.
An additional 1.3 trillion won will be invested in gigawatt-scale solar power facilities to ensure stable electricity supply for the AI data center and electrolysis plant. Hyundai has operated a 99-megawatt solar facility in Saemangeum since 2021 and aims to expand its renewable portfolio through 2035 to support carbon neutrality and RE100 goals.
The project also includes development of an AI hydrogen city within Saemangeum’s 6.6-square-kilometer smart waterfront district. The city will integrate AI-driven robotics into transportation, logistics and safety systems while adopting a localized hydrogen production-and-consumption model.
Ahead of the signing ceremony, officials reviewed Hyundai’s robotics and hydrogen technologies, including humanoid robot Atlas, the MobED mobile platform, wearable robot X-ble and uncrewed firefighting robots, as well as hydrogen mobility models such as the Nexo fuel cell SUV and hydrogen buses and trucks.
Vice Chairman Jang Jae-hoon said the Saemangeum initiative would serve as a cornerstone for Korea’s next industrial transformation.
“The next-generation industrial paradigm beginning in Saemangeum will go beyond regional development and become a central axis for designing Korea’s future,” Jang said. “Hyundai Motor Group is fully prepared to build an advanced industrial ecosystem spanning manufacturing, robotics, AI and hydrogen energy.”
Construction of the AI data center and solar facilities is set to begin in 2027, with completion targeted for 2029. The electrolysis plant will follow a phased build-out starting the same year, while the robotics cluster is slated for completion in 2029.
Hyundai said the Saemangeum hub will strengthen regional balanced development while positioning Korea as a global leader in robotics, AI and hydrogen-based industries.
sahn@heraldcorp.com