SEOUL, Nov. 13 (Yonhap) — South Korea’s Hyundai Motor Co. said Sunday it has signed a deal with an Indonesian aluminum company to secure a stable supply of the key material required in electric vehicle manufacturing.
Hyundai Motor signed a memorandum of understanding with PT Adaro Minerals Indonesia Tbk for the partnership during the B20 Summit Indonesia 2022 held in Bali on Nov 13 and 14, the company said in a statement.
The B20 is the official G-20 dialogue forum with the business community. In the forum, business leaders deliver policy recommendations to the leaders of the 2022 Bali Summit to be held on Nov. 15 and 16 under the theme of “Advancing Innovative, Inclusive and Collaborative Growth.”
The deal with Adaro Minerals will help Hyundai to secure a certain amount of aluminum for car manufacturing in its global production facilities amid growing external uncertainties, the statement said.
Adaro Minerals will also collaborate with Hyundai to provide low-carbon aluminum products to the carmaker, which will help it achieve its carbon neutrality goal.
Low-carbon aluminum products refer to those that have significantly cut carbon dioxide emissions during their manufacturing process by utilizing sustainable energy sources.
Hyundai Motor and its smaller affiliate Kia Corp. aim to sell only electrified vehicles with no carbon emissions by 2040 in major markets, starting with Europe in 2035.
Hyundai Motor Group Chairman Euisun Chung urged governments and global businesses to take bold action on climate change and energy poverty at the B20 forum.
Climate change is not the only reason to accelerate Hyundai Motor Group’s transition to sustainable energy. The world is facing a myriad of economic challenges: the social and economic aftershocks of COVID, a global semiconductor shortage, inflation, rising interest rates and the soaring prices of raw materials, Chung said.
“Governments and businesses must play their part and drive global change. Together, we can set the conditions to accelerate the adoption of eco-friendly solutions,” he said.
Citing hydrogen as a future clean energy solution, he said renewables come with different challenges, including limits on supply and storage. Hydrogen can solve many of these issues. There is a global consensus on the importance of hydrogen as a future limitless energy solution.
Hyundai sells the Nexo fuel-cell hydrogen fuel-cell electric vehicle (FCEV) in global markets, and it competes with Toyota Motor Corp. and Honda Motor Co. in the FCEV markets.
Source: Yonhap News Agency