Hyundai heir takes over from father after 20 years in waiting

SEOUL – Hyundai Motor Group appointed Euisun Chung as group chairman on Wednesday, cementing his succession from his octogenarian father in a move likely to give impetus to the world’s fifth-largest automaker’s push into electric vehicles and flying cars.

In the first generational handover at the South Korean automobile giant in 20 years, Chung, 49, said he hoped to lead change at South Korea’s second-biggest conglomerate as it battles to stay ahead of the pack in a time of rapid technological innovation in the global auto industry.

“Carrying on their bold and innovative legacies, I feel privileged, yet also a sense of great responsibility for opening a new chapter of Hyundai Motor Group,” Chung said in his inauguration speech to employees.

Chung identified autonomous driving, electrification, hydrogen fuel cell, robotics and Urban Air Mobility (UAM) - industry jargon for flying cars - as his initiatives for the future.

Hyundai Motor shares were trading up 0.3 per cent after rising as much as 2.5 per cent after the appointment, while the wider market was down 0.6 per cent. Kia Motors and Hyundai Mobis fell 1.6 per cent and 1.1 per cent, respectively.

LEGACIES

Hyundai Motor Group earlier on Wednesday said Chung had been promoted to chairman from executive vice chairman, replacing his father, MongKoo Chung, who was made honorary chairman.

Key affiliates of Hyundai Motor Group, including Hyundai Motor, endorsed his inauguration unanimously.

The appointment makes Chung the latest third-generation leader to take over one of South Korea’s family-led conglomerates, which have been credited with lifting the war-stricken country out of poverty since the 1950s.

His father took the wheels of the group in 2000 and transformed the company, once mocked for poor vehicle quality, into the world’s No.5 automaker.