Hyundai Motor Group is ramping up efforts to develop the Saemangeum area in North Jeolla Province into a major industrial hub for robotics, AI and clean energy, in partnership with state-run financial institutions.
On Monday, Hyundai said it signed a memorandum of understanding with major state-owned lenders — including the Korea Development Bank, Export-Import Bank of Korea, Industrial Bank of Korea and Korea Credit Guarantee Fund — to establish a financial support and cooperation framework for the Saemangeum project.
The signing ceremony, held in Yeouido, Seoul, was attended by senior officials from the participating institutions, along with Hyundai Motor Group executives, including Vice Chair Chang Jae-hoon.
Under a public-private partnership, Hyundai leads the project as the anchor investor, building core infrastructure for the advanced technology and renewable energy industries. Policy lenders will support financing and expansion to foster a broader ecosystem of suppliers and smaller companies, ultimately strengthening Korea’s competitiveness in future industries.
The KDB will lead overall financing and structuring, while the IBK will provide tailored funding for small- and mid-sized companies in the robotics and hydrogen sectors. Korea Eximbank will support global expansion through export financing and market networks and KCGF will offer guarantees to improve funding access and project stability.
Chang highlighted the strategic importance of the region, noting that “Saemangeum offers the key conditions companies are looking for, including large-scale renewable energy capacity, tri-port logistics infrastructure and plans for a new city with a population of 700,000, all aligned with the government’s regional development vision.”
He added that the participation of four major policy financial institutions just 38 days after the company’s initial investment announcement underscores the strength of public-private commitment to the project.
In February, Hyundai announced it plans to invest 8.9 trillion won ($5.9 billion) for the Saemangeum project as part of a government initiative to expand productive financing and promote private-sector investment.
According to Chang, the investment will be deployed in phases starting next year, to build a comprehensive ecosystem spanning robotics manufacturing, AI data centers, hydrogen energy, a 1-gigawatt-scale solar power facility and an AI-powered hydrogen city.
For the robotics business, Chang said the company is currently focusing on detailed plans for development, mass production and scaling, with export plans under consideration.
The company has since established a dedicated organization for the project and is working closely with a government-led task force to coordinate construction approvals, policy support and infrastructure development.
By Byun Hye-jin (hyejin2@heraldcorp.com)
