Hyundai’s US$6.6 Billion Saemangeum Hub Moves Into Focus in South Korea’s AI Investment Push

South Korean President Lee Jae Myung has met Hyundai Motor Group Executive Chair Euisun Chung for talks expected to have focused on Hyundai’s planned 9 trillion won (US$6.6 billion) investment in an AI, robotics and energy industrial hub at Saemangeum.

The closed-door meeting took place on September 2, with Hyundai’s Saemangeum project and its potential role in the government’s wider semiconductor, physical AI and AI data-centre investment programme among the likely topics discussed.

Saemangeum Hub Targets AI, Robotics and Energy

Hyundai Motor Group plans to invest around 9 trillion won by 2029 to establish a large industrial complex in the Saemangeum reclaimed area of Gunsan, on South Korea’s southwestern coast.

The project is designed to combine several advanced industrial technologies within one location, including:

• AI data-centre infrastructure
• Robot manufacturing and component production
• Hydrogen production
• Renewable-energy infrastructure

Hyundai has said the site will support the integration of AI, robotics and hydrogen technologies into a broader industrial ecosystem.

50,000-GPU Data Centre Planned

The Saemangeum development is expected to include an AI data centre equipped with around 50,000 GPUs, providing computing infrastructure for Hyundai’s future AI and physical AI applications.

The project also calls for robot manufacturing capacity of up to 30,000 units annually, linking AI computing infrastructure directly with physical production.

A 200MW-class clean hydrogen production facility is also planned, alongside solar-power infrastructure.

Project Forms Part of South Korea’s Wider AI Strategy

Hyundai’s investment comes as South Korea pushes ahead with its wider “three megaprojects” initiative, focused on semiconductors, physical AI and AI data centres.

The government is seeking to expand advanced manufacturing investment beyond the Seoul metropolitan area and create new industrial clusters across regional locations.

Samsung Electronics and SK hynix are also participating in the strategy through major semiconductor investments, including plans for new memory fabrication plants and supporting facilities.

Government Pushes for Faster Project Delivery

President Lee has repeatedly called for faster implementation of the country’s large-scale advanced-industry projects.

The government is working to streamline administrative procedures and address infrastructure requirements including electricity and water supply, which will be critical to supporting new semiconductor fabs and AI data centres.

The Ministry of Trade, Industry and Energy has also identified the megaproject programme as a major priority for the second half of 2026.

Hyundai Expands Beyond Automotive Manufacturing

The Saemangeum project reflects Hyundai Motor Group’s broader shift beyond conventional vehicle manufacturing.

By combining robotics, AI computing and hydrogen energy within a single industrial hub, the company is positioning itself across several technologies expected to play a larger role in future manufacturing.

Hyundai’s discussions with the government also show how private-sector investment is becoming central to South Korea’s strategy for building regional advanced-manufacturing clusters and strengthening competitiveness in AI-related industries.