Hyundai Motor and General Motors (GM) have unveiled plans to jointly develop five new vehicles by 2028, marking a major step forward in their strategic partnership. The collaboration, announced Thursday, builds on a memorandum of understanding signed last year and represents Hyundai’s first alliance of this scale with a global automaker.
The automakers announced that the lineup will span five models: a mid-size pickup, a small pickup, an electric van, a compact SUV, and a passenger car. To appeal to both Latin American and North American buyers, several of these vehicles will be offered with flexible powertrain choices, including internal combustion and hybrid variants. With this strategy, Hyundai and GM aim to strengthen their presence across key segments while responding to tariff challenges and mounting competition from rapidly rising Chinese brands.
Hyundai Motor and General Motors confirmed that the collaboration will cover both passenger and commercial segments, with design and engineering work already underway. Four of the models — a compact SUV, a compact passenger car, a small pickup, and a mid-size pickup — will be aimed at Central and South American customers, where pickups dominate sales. The fifth model, an electric commercial van, will be produced for North America, adding a new competitor to the EV logistics market.
Once full-scale production begins in 2028, the automakers expect a combined annual output of over 800,000 units. While the vehicles will be built on shared platforms, each company will differentiate its offerings through distinct exterior and interior styling to reflect Hyundai and GM’s individual brand identities.
Development tasks will be divided between the two companies. GM will lead the creation of the mid-size pickup platform, leveraging its strength in the truck segment, while Hyundai will take charge of compact vehicles and the electric van, drawing on its expertise in small cars and EV technologies. Both automakers emphasized that the cooperation is designed to pool complementary strengths and reduce costs through scale.
Executives from both companies stated that the project highlights their commitment to delivering greater value to customers while streamlining operations. Hyundai Motor CEO José Muñoz emphasized the importance of delivering well-designed, high-quality vehicles with advanced features more efficiently than ever before. GM’s supply chain chief, Shilpan Amin, added that the partnership would allow the companies to serve key markets faster and at lower cost, pointing out that the targeted segments represent the bulk of demand in Latin America and North America.
The joint venture also includes a sourcing initiative across the Americas to secure raw materials, components, and logistics. Both companies are reviewing ways to expand this into areas such as low-carbon steel and advanced systems to support sustainable manufacturing. By collaborating on procurement and supply chains, Hyundai and GM aim to reduce expenses and introduce new models more efficiently.
Analysts say the timing of the partnership reflects the growing importance of scale in the global auto industry, particularly as Chinese automakers gain ground with competitively priced electric models. Hyundai stands to benefit from GM’s deep experience in pickup trucks and its established parts supply chain in North America. At the same time, GM can take advantage of Hyundai’s edge in compact vehicles and hybrid technologies. Experts note that combining these strengths will enable the two automakers to defend their market share and improve profitability, despite tariff pressures and rising costs.
Industry watchers also view the alliance as a long-term move that extends beyond tariffs or short-term trade shifts. With Hyundai investing heavily in U.S. production and EV development, and GM aiming to expand its global portfolio, both companies see the joint project as a way to maximize efficiency and broaden their reach. By aligning on vehicle platforms and production strategies, Hyundai and GM aim to strengthen their position in an industry where innovation, cost savings, and adaptability are becoming increasingly critical.
Image credits: Hyundai
