Hyundai Motor Co. has appointed Jose Munoz as its new CEO, marking the first time a non-Korean will lead the automaker as it looks to expand globally.
Munoz, 59, joined Hyundai in 2019 as global chief operating officer, responsible for overseeing its North and South American markets. Before joining Hyundai, he spent 15 years at Nissan Motor Co., where he served in several high-level roles, including chairman of the China division.
Munoz will replace Jaehoon Chang, who will now take on the role of vice-chairman for Hyundai’s automotive division. This leadership change will take effect on January 1, 2025, and comes at a critical time for Hyundai, which faces both the slowdown in the transition to electric vehicles (EVs) and increasing competition from Chinese automakers. Adding to these challenges, reports indicate that President-elect Donald Trump may remove a major tax credit for EV buyers, which has recently led to a decline in the stock prices of US automakers and Asian battery producers.
Hyundai remains committed to its EV goals, planning to double its lineup of hybrid vehicles and aiming to sell 2 million EVs per year by 2030. The company’s presence in the US has grown significantly, ranking as the fourth-largest automaker in 2023. In October, Hyundai also launched production at its new plant in Georgia, which is projected to increase North American output to nearly 1.3 million vehicles annually.
Munoz’s selection is considered “innovative and surprising,” and it is expected to positively influence Hyundai’s corporate culture, according to Park Ju-gun, head of corporate research firm Leaders Index. Park highlighted that Chairman Chung Euisun has actively promoted external talent, and Munoz’s expertise will be valuable in navigating the EV tax credit uncertainties under the new US administration.
Hyundai shares were up 1.2% in Seoul on Friday but have shown little overall movement this year. Additional executive changes include Sung Kim’s appointment as president of Hyundai Motor and Jun Young Choi’s promotion to president of Kia Corp. Hyundai Motor Chairman Euisun Chung will remain in his role.
In its latest earnings report, Hyundai fell short of third-quarter estimates due to slow sales, while its Indian unit, which recently went public, also reported a drop in quarterly profit.