The Hyundai Factory that Produces Electric “on Demand”

Hyundai’s new Thai plant is the first in Southeast Asia to produce electric and the first “build to order”.

Electrification is making the car market truly global, leading to the distribution and often production of latest generation vehicles even in areas previously considered to be of secondary importance in the commercial strategies of many manufacturers.

Hyundai has clearly demonstrated this with the inauguration of the new Indonesian factory in Cikarang, which in addition to being its first plant in Southeast Asia is also innovative in terms of organization and logistics.

Brand new
Inaugurated on March 16, the plant is located in the Deltamas industrial complex, about 40 km east of the capital Jakarta, and is an example of flexibility. It has a production capacity of 150,000 units a year which will be increased with subsequent investments of 1.55 billion dollars up to its maximum potential, which can reach up to 250,000 units a year, and above all it is the first in that area of ​​the world to produce the latest generation electric vehicles, starting with the Ioniq 5, the first car to roll off the production lines.

Alongside this, which continues the brand’s global decarbonisation strategy, the site will also start production of large-volume models such as the upcoming Santa Fe SUV, the small Hyundai Creta SUV and a new MPV model yet to be presented. But they are not the only news.

he factory named Hyundai Motor Manufacturing Indonesia makes extensive use of eco-friendly technologies, such as solar panels capable of satisfying part of the electrical needs of the plant and devices such as the use of ecological water-based paints in the painting process of the vehicles to reduce the environmental impact, in order to pursue the “Progress for Humanity” vision and the road to sustainable development.

The other big news is a production approach that follows the build-to-order (BTO) principle, that is, it allows customers to choose product specifications when ordering, lowering inventory costs, according to the company.

Soon the batteries “in the house”
Upon completion of the project, Hyundai has started the construction of an additional production site with LG Energy Solutions partners, this time in Karawang, dedicated to the production of batteries and which should be completed by the first half of 2023 starting the year. following.

In addition to being strategic, like that of Cikarang, for the Southeast Asian area, this operation is also the basis for a development of the Indonesian market towards new mobility solutions: the batteries produced by the factory with high sustainability standards will support the electric transition of the Asian country by further improving the price competitiveness of EV models and promoting their diffusion.

Soon the batteries “in the house”
Upon completion of the project, Hyundai has started the construction of an additional production site with LG Energy Solutions partners, this time in Karawang, dedicated to the production of batteries and which should be completed by the first half of 2023 starting the year. following.

In addition to being strategic, like that of Cikarang, for the Southeast Asian area, this operation is also the basis for a development of the Indonesian market towards new mobility solutions: the batteries produced by the factory with high sustainability standards will support the electric transition of the Asian country by further improving the price competitiveness of EV models and promoting their diffusion.

 

Reviewer overview

The Hyundai Factory that Produces Electric "on Demand" - /10

Summary

Hyundai's new Thai plant is the first in Southeast Asia to produce electric and the first "build to order".

0 Bad!