Hyundai Motor & Kia Sign Power Semiconductor Supply Deal for EVs With Infineon

Hyundai Motor Company and Kia Corporation have signed a strategic partnership with Germany's Infineon Technologies AG to secure power semiconductors in support of the growing electric vehicle (EV) demand worldwide. The two manufacturers will receive supplies of power semiconductors needed for their electrified models from Infineon through 2030.

Hyundai Motor and Kia say they plan to work closely with Infineon to improve the performance of their EVs, including all-electric, hybrid and plug-in hybrid lineups.

Semiconductors are used in vehicles for a wide variety of systems — from powertrain and battery management to safety and infotainment.

The agreement builds on the two parties’ long-running cooperation on sensor components since the early 2000s.

Infineon started supplying power semiconductors to the companies in the mid-2000s, and both parties operated a joint research center between 2007 and 2020 to optimise the electricity performance of vehicles.

Heung-soo Kim, Executive Vice President and Head of Global Strategy Officer (GSO) at Hyundai Motor, says: "Infineon stands as a valued strategic partner, boasting steadfast production capabilities and distinct technological prowess within the power semiconductor market. This partnership not only empowers Hyundai Motor and Kia to stabilize its semiconductor supply but also positions us to solidify our leadership in the global EV market, underpinned by our competitive product lineups."

Peter Schiefer, Division President Automotive of Infineon, adds: The future car will be clean, safe and smart and semiconductors are at the heart of this transformation. As a trusted partner, we are proud to advance our long-term partnership with Hyundai and Kia. We contribute premium products of high quality, our system knowledge and application understanding combined with continued investments in manufacturing capacity to address the increasing demand for automotive power electronics."

Hyundai Motor and Kia have raised their 2030 annual EV sales targets to 2 million units and 1.6 million units, respectively.