[Alpha Biz=(Chicago) Reporter Paul Lee] The Korea Trade Insurance Corp. will provide large-scale funding for Hyundai Mobis' construction of an electric vehicle parts plant in the U.S.

The Korea Trade Insurance Corp. announced on the 8th that it will provide 940 million dollars worth of finance to Hyundai Mobis' project to build an electric vehicle parts plant in the U.S. The project is to build four plants in Alabama and Georgia to prepare production facilities such as battery systems and power drive devices.

Hyundai Motor Group is building a supply chain encompassing the entire electric vehicle industry in the U.S. to cope with demand for electric vehicles in the North American market. The implementation of the U.S. Inflation Reduction Act (IRA), which provides subsidies for electric vehicles differently depending on the ratio of raw materials and production areas, has made it essential to establish a supply chain for electric vehicles in North America.

From 2019 to the present, the Korea Trade Insurance Corporation has provided a total of $3.9 billion in financial support for 12 projects, ranging from battery materials such as lithium and copper foil to battery plants and electric vehicle parts, to support South Korean companies' entry into the value chain in the electric vehicle market.

 

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