To to secure its power semiconductor supply chain
Hyundai Motor Co. and Kia Corp., Korea's leading carmakers. said Wednesday that they have inked a strategic partnership with the German automotive chipmaker Infineon Technologies AG, so as to secure its power semiconductor supply chain.
Under the deal, sealed Tuesday in Munich, Germany, the companies will cooperate in developing power semiconductors, a key component for eco-friendly cars to control and convert electric power, according to the South Korean companies.
Hyundai and Kia will also source a portion of their power semiconductors from Infineon for the production of electric and hybrid vehicles through 2030, they added.
Infineon is a world leader in the automotive chip market, with a product portfolio that includes automotive microcontrollers, power semiconductors and sensors.
Hyundai and Kia have been working with the German company since the early 2000s.
Hyundai Motor Group, the parent of Hyundai and Kia, said the partnership will help the company take the lead in the global electric vehicle industry by securing a reliable supply chain for their eco-friendly cars.