Hyundai Motor delays launch of upgraded Nexo hydrogen car - newspaper

Genesis Healthcare

29/06/2022 10:41

SEOUL, June 29 (Reuters) - Hyundai Motor Co  005380.KS  has
decided to delay the launch of its upgraded hydrogen-powered
Nexo SUV to 2024 due to issues with its fuel cell development, a
South Korean newspaper reported on Wednesday, citing the auto
parts industry. 
    The South Korean automaker had planned to kick off mass
production and sales of its new Nexo in the second half of next
year, but has decided to postpone to 2024, the Seoul Economic
Daily reported. The Nexo was launched in 2018. 
    The report also said the launch schedule for hydrogen fuel
cell vehicles at Hyundai Motor's premium brand Genesis had not
been decided yet, as the project to develop the first Genesis
brand fuel cell vehicles was suspended late last year.  
    Hyundai Motor did not have comment. 
    Hyundai sold 3,978 Nexos in South Korea and exported 120 
between January and May this year, according to the company's
sales data. 
    In September, Hyundai Motor Group, which houses Hyundai
Motor, Kia Corp  000270.KS  and Genesis, announced plans to
offer hydrogen fuel cell versions for all its commercial
vehicles by 2028, adding it would develop fuel cell vehicles for
Kia and Genesis that could be launched after 2025.  urn:newsml:reuters.com:*:nL4N2Q90HP
    Analysts said Hyundai would be reevaluating its hydrogen
fuel cell business, especially for passenger cars, because of
the slow growth of the hydrogen fuel cell car market and the
need to focus on the transition to electric vehicles (EVs). 
    "With the growing global EV market, it would be likely that
Hyundai could be reassessing its priority list as demand for EVs
 continues to grow, while the market for hydrogen cars still
remains relatively small," said Co Soo-hong, an analyst at NH
Investment & Securities. 

 (Reporting by Heekyong Yang
Editing by Mark Potter)
 ((Heekyong.Yang@thomsonreuters.com;))