Hyundai Motor set for executive reshuffle, braces for uncertainties

Hyundai Motor Group CI

Hyundai Motor Group is preparing to reshuffle the leadership at its affiliates in preparation for an emergency management operation aimed at navigating an increasingly uncertain business environment.

According to sources within the group on Wednesday, the affiliate executive appointments are expected to be announced on Friday, enabling new leaders to quickly respond to the changing market landscape.

In Hyundai Engineering & Construction Co., CEO Yoon Young-joon is expected to step down, with Lee Han-woo, head of the housing business division, slated to assume the role. At Hyundai Engineering Co., CEO Hong Hyeon-sung is reportedly set to resign, with Joo Woo-jeong, currently Kia Corp.’s head of finance, anticipated to take over. Hyundai Transys Inc. CEO Yeo Su-dong is also likely to step down following recent production halts at Hyundai Motor Co. due to a prolonged strike at Transys.

The reshuffle coincides with the group’s recent shift to emergency management operation with Donald Trump‘s imminent return to the U.S. presidency. Following the previous week’s U.S. election, Hyundai Motor Group Executive Chairman Euisun Chung visited the United States with Hyundai Motor Co. CEO Chang Jae-hoon and Global COO José Muñoz to inspect local facilities and conduct a review of the group’s U.S. production and sales strategies. “Hyundai is taking proactive steps to brace for potential upheavals in the U.S. auto market, including possible tariffs on imported cars and the elimination of electric vehicle subsidies,” an industry insider said.

Other major Korean corporations are also preparing for executive shifts. SK Group began implementing measures to improve operational efficiency across its affiliates in October 2024, beginning with leadership changes at SK innovation Co. subsidiaries. “We are divesting non-core businesses, reducing the number of affiliates, downsizing executive roles, and offering voluntary retirement to affiliates facing difficult market conditions,” an SK Group representative said.

LG Group is planning an executive reshuffle soon as well, with LG Chem Ltd. deferring planned investments to bolster liquidity and LG Display Co. offering voluntary retirement to office staff.

Lotte Group has announced that executives at underperforming affiliates will voluntarily return portions of their salaries.