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Significance
South Korea is also furious at Hyundai’s exclusion from new electric vehicle (EV) tax credits under the Inflation Reduction Act (IRA) -- even though its chairman met US President Joe Biden and pledged to invest USD5.5bn in a new EV and battery plant in Savannah, Georgia, set to open in 2025.
Impacts
Hyundai’s IRA exclusion, unless remedied, will make it harder to build political or business support in Seoul for divestment from China.
South Korea has its own reasons to reduce over-dependence on Beijing, but wants to move autonomously.
Seoul does not want to trigger boycotts of South Korean firms in China.
Keywords:
South Korea,
AP,
NA,
China,
Japan,
Taiwan,
United States,
economy,
industry,
international relations,
corporate,
foreign investment,
foreign policy,
foreign trade,
technology,
Semiconductors
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2022
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