José Muñoz, CEO of Hyundai: “Europe has opened the doors a lot to Chinese manufacturers”

José Muñoz assures that if he has become the CEO of Hyundai Motor Company, the Korean multinational that has more than 300,000 employees, it is because it was not his objective. “When you become obsessed with scoring a goal without playing well, it is very difficult; it is about playing well and the goals come,” says the most relevant Spanish manager in the global automobile industry. Playing means working “as a team”, “very hard”, with “a lot of humility” and “perseverance”; always willing “to improve”, “to travel” and “to be hungry”, he says. And, in addition, you have to take care of your health and be “happy” with what you do, adds the 60-year-old executive director, who left nuclear engineering to join the automobile industry. He went through several firms before taking the reins of the world’s third largest vehicle manufacturer (also owner of Kia). He did it first in the United States, and from the end of 2024 throughout the world. His intention is to convey his ideology to the students of the EDEM Business School, promoted by the president of Mercadona, Juan Roig, at the graduation ceremony this Thursday, which is why he visited Valencia. Muñoz makes a point to highlight that the philosophy of the Valencian businessman, «innovation, investing in people and giving a return to society» (Hyundai has a foundation dedicated to pediatric cancer, he points out), is very similar to his. Hours before the meeting, the manager, who in addition to nuclear engineering studied an MBA in Madrid, reminds a small group of journalists that, when he entered the industry, Spain «was one of the countries that produced the most cars in Europe and worldwide.» «But things have been evolving and Korea has become a world leader in many things. The issue of manufacturing has been déjà vu. Korea beat Spain a long time ago. Now the most important thing is who has the capacity, the know-how, access to the latest technologies, data centers, chips, software, robotics, Artificial Intelligence…», he asserts before entering the difficult situation for the industry.José Muñoz, during the meeting with journalists in Valencia.EDUARDO MANZANA“The global automobile market has never been in a situation like this, with so many things happening at the same time: changes in legislation, supply issues, chains that are broken by wars… The situation is very different on each continent and I would say that Europe is probably the most complicated case. Unlike the United States, it is not a single country and its legislation has many more elements that complicate it, the European one, that of the countries, the autonomous one in Spain…» And it also marks a distance from the proliferation and landing of new Chinese car brands: «The US is still a fairly self-protected market, let’s put it that way, and Europe, however, has opened its doors wide to the arrival of many Chinese manufacturers. And each one is adopting different strategies.» The Korean company sells 15% of its vehicles in Europe, a market that it considers essential. And the Spanish market is ahead of Italy and France for the brand in terms of results. “80% of what we sell here is produced here, so we should be less dependent on external issues,” he says. Soon, Genesis will expand on the old continent, “the jewel in the crown” of Hyundai, “the premium brand that has managed to reach one million sales before any other,” says Muñoz about the success of the range in the United States and Korea. Hyundai has a factory in the Czech Republic and another in Turkey. It asserts that the electric car is here to stay, without a doubt. Now, the secret of survival and also of excellence is “flexibility” and knowing how to “surf” the unexpected waves that shake the business, he adds, using another sports simile. The profitability of the non-electric car continues to be higher than that of the electric car. If, for example, the United States eliminates incentives for the electric car, there must be the capacity to introduce the hybrid. «In the Savannah, Georgia, factory, we invested $12.6 billion, theoretically to manufacture electric vehicles, but we realized that we had to manufacture hybrid vehicles and that required an additional investment. Hybrids are generating 60% or 70% growth each month in the United States market,» he explains. If after the closure of the Strait of Hormuz, electric sales in California take off, we must be alert to surf the new wave, Muñoz reasons. And to do this, you must have your own, sustainable strategy to face legislative changes or war conflicts. And that strategy involves having its own factories, unlike other brands, as well as robotization, the latest technologies and innovation. «We are trying to get robots to help us in manufacturing processes that humans cannot do. We have a plan to manufacture 30,000 robots for our factory plants,» he comments. Muñoz is aware that the talent that was concentrated in the automotive sector is now taking refuge in technology companies or even defense companies. “When you reach an executive position you no longer know as much technically as the youngest expert in your company, but you have experience and you have to understand the elements, the factors and develop that potential, right?” And he quotes the words of Hyundai president, Euisun Chung, when asked about the key to his success: “I always surround myself with people who are smarter than me.” “I say that he is the smartest because he realizes it and then picks up world talent,” Muñoz concludes.