Hyundai Motor Group, AfDB Join Forces on Clean Energy and EV Value Chains
TECHWORLD ·
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Hyundai Motor Group signed a letter of intent (LOI) with the African Development Bank (AfDB) and agreed to look for business opportunities in Africa together.
The partnership covers future growth areas including African industrialization, transportation infrastructure development, and the transition to clean energy.
The two sides plan to flesh out cooperation and investment plans in EV value chains, renewable energy, roads, railways, ports infrastructure, and talent development.
Hyundai Motor Group has begun working with the African Development Bank (AfDB) to seek business opportunities in Africa related to clean energy, the electric vehicle value chain, and transportation infrastructure. The goal of the partnership is to identify projects that support Africa's industrialization and sustainable growth.
Hyundai Motor Group signed a letter of intent (LOI) with AfDB on the 8th. The LOI focuses on future growth cooperation in areas including African industrialization, transportation infrastructure development, and the transition to clean energy.
AfDB is a multilateral development finance institution that supports economic growth and industrialization in Africa. Through development finance, investment attraction, and project development, AfDB supports infrastructure and industrial projects in the region.
The partnership focuses on combining Hyundai Motor Group's capabilities in mobility, energy, infrastructure technology, and business execution with AfDB's development finance expertise. The two sides plan to identify projects with strong commercialization potential in Africa and flesh out cooperation methods and investment plans by sector.
The collaboration between Hyundai Motor Group and AfDB will center on clean energy transition based on renewable energy, including green hydrogen; the building of sustainable mobility; and the development of transportation and logistics infrastructure such as roads, railways, and ports. The two sides will also promote the building of an EV value chain that leverages Africa's critical mineral resources, while working together to strengthen manufacturing capabilities and train talent in future mobility and energy fields.
In the course of pursuing such cooperation, Hyundai Motor Group has set a policy of expanding its collaboration with AfDB in financing large-scale infrastructure and energy projects. It is also reviewing the use of integrated financing packages that combine policy finance and private capital, with the aim of reducing investment risk.
The AfDB delegation visited Korea in connection with its attendance at the 8th Korea-Africa Ministerial Economic Cooperation Conference (KOAFEC) and toured Hyundai Motor Group's Yangjae headquarters. After signing the LOI, the two sides shared insights on Africa's development finance environment and key industrial challenges, and discussed the direction of long-term cooperation.
The delegation also inspected future mobility technologies including sweep robots, security robots, delivery robots, and MobED. Hyundai Motor Group plans to work with AfDB to identify business opportunities suited to local industrial conditions in Africa.
Hyundai Motor Group described the partnership as the starting point of a long-term partnership for Africa's energy transition and strengthening industrial competitiveness. Hyundai Motor Group Vice Chairman Chung Jae-hoon said that, for this purpose, it is necessary to build an integrated financing package that can link policy finance and private capital and secure investment stability. He added that such an integrated financing package is essential for the stable execution and successful commercialization of key African projects, and said the group will continue to expand cooperation with AfDB.
AfDB said Hyundai Motor Group's capabilities and direction are aligned with its own vision. Kevin Chika Urama, AfDB's Chief Economist and Vice President, said Hyundai Motor Group's experience, technology, and future vision closely match AfDB's vision of turning Africa's potential into shared prosperity. He added that Hyundai Motor Group is an important strategic partner for AfDB.
Source: TECHWORLD · Kim Seung-ki
Original: https://www.epnc.co.kr/news/articleView.html?idxno=406750
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Source: TECHWORLD
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