Hyundai Wia to Increase Hybrid Engine Production in Nuevo León; Plan Set to Launch in 2026
By Editorial Staff
February 19, 2025
Hyundai Wia Corporation plans to begin hybrid electric vehicle (HEV) engine production in Nuevo León, Mexico, by 2026, according to reports from South Korea.
This move aims to meet the growing demand from Hyundai Motor Group (HMG) operations in North America.
The production capacity at the plant, located in Monterrey, Nuevo León, will expand to 200,000 engines per year, despite tariff threats from U.S. President Donald Trump.
Hyundai Wia primarily aims to increase production of 1.6L Gamma engines used in hybrid electric vehicles, produced under the Hyundai, Kia, and Genesis brands in North America.
The demand for HEVs has surged in recent years. Combined sales of Hyundai and Kia hybrid electric vehicles in the United States grew to 220,000 units last year, with an additional 150,000 sold in Mexico.
Hyundai Wia is a key unit of HMG, producing drivetrain modules and components such as engines, transmissions, constant velocity joints, and 4WD systems, as well as robots and smart factory solutions.