Hybrid becomes Hyundai Motor's new US strategy

Hyundai Motor is expanding hybrid production and local sourcing in the United States, in a strategic shift to blunt the impact of tariffs. The effort — unveiled at its 2026 CEO Investor Day on Wednesday — is centered on its plan to offer more than 10 hybrid models in North America by 2030, with a goal of making hybrids account for around half of its regional sales there. The strategy goes beyond expanding its hybrid lineup. Hyundai said it will raise its North American local parts sourcing target to 80 percent in the same timeline, up from the previous target of 60 percent, as it seeks to build a more localized supply chain and reduce exposure to trade-related costs. The vehicles will be produced at Hyundai Motor Manufacturing Alabama and Hyundai Motor Group Metaplant America in Georgia. The shift comes as Hyundai Motor faces a more uncertain U.S. auto market. The company is subject to a 15 percent tariff on automobiles, while uncertainty over future U.S. trade policy continues to weigh on the automaker's long-term investment decisions. To mitigate the risks, the carmaker is increasin