- 155,000 people owe their jobs to the presence of Hyundai Motor in Europe
- €870 million in taxes were paid to European governments during 2014
- Factories purchased supplies worth €3.4 billion; 74% sourced within Europe
- A new report has revealed the significant contribution made by Hyundai Motor to the European economy.
Published by independent consultancy London Economics, the study found a growing trend in key areas, thanks to the expanding infrastructure and sales performance of the Hyundai brand.
Titled ‘The economic and societal benefits deriving from the presence of Hyundai in Europe’, the report underlines the increased number of jobs attributed to the carmaker’s European operations. Including those employed directly at Hyundai facilities or indirectly in the supply chain, sales and distribution, some 155,000 people owe their jobs to Hyundai Motor, compared to 129,000 in a 2013 study – an increase of 20%.
The tax contribution of Hyundai Motor to European governments during 2014 was €870 million, taking into account customs duties, sales and income taxes, further supporting the region’s economy.
Hyundai Motor has increased its ties with suppliers in Europe, particularly through its manufacturing plants in Czech Republic and Turkey. Of the €3.4 billion of supplies purchased at the factories, 74% were sourced within Europe, according to the report – this has increased from 72% in 2013.
The London Economics study finds the total gross value added (GVA) is €2.4 billion across the areas of manufacturing, supplies, research and development, sales and distribution. GVA measures the contribution to gross domestic product, taking the value of goods and services produced by a company net of input costs.
Hyundai Motor has continuously invested in Europe to establish the whole value chain from R&D to distribution, enabling us to develop ever-better products and services for our customers. This strategy of regionalisation brings great benefits for the economy, as recognised in the new London Economics report. Following another successful year of sales in 2015, Europe remains a key strategic region for Hyundai sales and brand development.Thomas A. SchmidChief Operating Officer at Hyundai Motor Europe
In 2015, Hyundai Motor sold 458,100 vehicles in Europe, a 9.8% increase compared to the previous year. Of these, 90% were models designed, developed, and manufactured in the region.
The Czech factory has capacity to produce 300,000 cars and 600,000 transmissions a year. Together with the 200,000 units of capacity at its Turkish plant, Hyundai Motor has annual production capacity of 500,000 cars primarily for European customers.
The full report is available to download at www.hyundai.news and includes further data and analysis, as well as an overview of Hyundai Motor’s social contributions.