Hyundai Motor is preparing to launch an AI-powered electric vehicle (EV) in China next year, its first model specifically designed for the world’s largest EV market. Developed with Haomo, a Chinese autonomous driving startup, the new EV aims to boost Hyundai’s presence in a market largely dominated by local giants like BYD.
A Hyundai spokesperson shared with The Korea Herald that the company is “working to load the software” onto the new EV model, adding, “The level of autonomous driving is somewhere between 2 and 2.5.” The collaboration with Haomo will see Hyundai’s new EV equipped with DriveGPT, Haomo’s generative AI-based system inspired by OpenAI’s ChatGPT. This technology continuously updates in real time, optimizing decisions based on traffic patterns. Haomo’s DriveGPT is currently in use across roughly 20 models in China, with aims to expand its influence.
Hyundai’s focus on advanced technology for the Chinese market comes as EV sales in the country hit record highs. In October alone, China saw 1.2 million EVs sold, a 50% increase from the previous year, according to data from Rho Motion. With over 8.4 million EVs sold in the first ten months of 2024, BYD leads with a 32.9% market share, followed by Tesla at 6.5%. Hyundai, by comparison, holds only 1.2% of the market, with its local subsidiary, Beijing Hyundai, seeing a steady decline in sales since 2017.
To support its return to the region, Hyundai recently opened its first overseas digital R&D center in China. The company has also partnered with other local tech firms, including smart cockpit provider Thundersoft, to further enhance its upcoming EV lineup. Hyundai’s AI-powered EV is one of five models planned for release in China by 2026, with hopes that this strategic entry will improve its competitive standing in the region.
