Korean Legislators Charge Hyundai With Submitting To Trump | Carscoops

      South Korea's industry minister has called Hyundai's investments "deeply regrettable."

      Hyundai recently increased its investment commitment in the US from $21 billion to $26 billion, a move that may have weakened Korea's position in trade discussions with the US. The South Korean government continues to push for the elimination of significant tariffs imposed by the US.

      The South Korean administration is not happy with Hyundai's substantial investments in the US, particularly amid ongoing tensions with the Trump administration regarding a new trade agreement. A lawmaker has even alleged that Hyundai is trying to gain favor with President Donald Trump.

      This announcement came just two weeks after a significant raid on Hyundai's plant in Georgia by US Immigration and Customs Enforcement, where hundreds of Korean workers were detained. In light of this, the company revealed plans to elevate its American investments by 32 percent, totaling $11.6 billion.

      This decision has sparked discontent in South Korea. Many have cautioned that the raid could deter local businesses from pursuing expansions in the US, and Hyundai’s timing has only heightened this concern.

      During a recent press interaction, South Korea’s industry minister, Kim Jung-kwan, expressed that the timing of these investments is "deeply regrettable."

      "We conveyed to Hyundai that their actions were quite regrettable, particularly given our efforts were directed towards the interests of Hyundai and Kia’s industry," Kim stated. "I believe Hyundai now fully comprehends the sentiments of the Korean public."

      As reported by the South China Morning Post, South Korean officials have had disagreements with their US counterparts over approximately $350 billion in American investments while seeking reduced tariffs on Korean vehicles.

      Who Gains the Most?

      Independent lawmaker Kim Jong-min noted that Hyundai’s investments have diminished Korea’s leverage in the trade discussions. "Isn’t the Korea-US tariff negotiation fundamentally a negotiation about Hyundai?" he posed.

      "Since Hyundai is the major player in this matter, I think the way Hyundai reacted was not beneficial to the negotiations."

      Hyundai has been particularly active in terms of investments this year. In March, the company committed $21 billion to enhance its automotive, steel, and robotics sectors. By August, this amount had risen to $26 billion, with a commitment to generate 25,000 direct jobs in the US by 2028.