Hyundai and Kia partner with Arrival on electric van project

Commercial Motor
January 17, 2020

 (From the right) Edward Lee, EVP and head of Hyundai commercial vehicle business division, Albert Biermann, president and head of research and development division for Hyundai Motor Group, Denis Sverdlov, CEO of Arrival, Avinash Rugoobur, CSO of Arrival

Hyundai Motor Company and Kia Motors Corporation have invested €100m into a partnership with Arrival to develop small to medium electric vans.

The contract was signed at the headquarters of the Korean manufacturers in Seoul by Hyundai’s president and head of research, Albert Biermann, and Arrival’s CEO, Dennis Sverdlovsk. Hyundai has contributed €80m towards the project, and Kia €20m.

Biermann said: “The eco-friendly vehicle market in Europe is expected to grow rapidly due to the introduction of further environmental regulations. Through the joint development of electric commercial vehicles with Arrival, we will be able to gain a competitive advantage and progressively establish our leadership in the global eco-friendly vehicle market, with Europe at the forefront.”

Arrival’s scalable EV platform, developed for its Generation 2 EVs, will be used because it can be adapted for multiple vehicle categories, enabling Kia and Hyundai to develop purpose-built vehicles. The new vans will be targeted at the logistics and on-demand, ride-hailing and shuttle service companies.

Sverdlovsk said: “Hyundai and Kia have been making amazing vehicles with uncompromising quality and share our vision for an electric mobility future. Our strategic partnership with Hyundai and Kia means we will scale Generation 2 electric vehicles globally and importantly – in the very near future.”

Hyundai believes this partnership will contribute towards its ‘Two-track’ strategy to deliver battery electric and hybrid fuel cells for the European HGV market, building upon its aspirations to have 1600 hydrogen heavy-goods vehicles in Europe by 2025.

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