Hyundai Project in the News

Hyundai Motor Manufacturing Alabama, LLC, a Gray Construction customer, was recently featured in the Wall Street Journal regarding their new expansion project in Montgomery, Alabama. Hyundai recently selected Gray for our 13th project at their Alabama complex. Gray has worked with Hyundai since 2003.

America is boosting its manufacturing capacity – specifically in the Southeast – and Gray is fortunate enough to be playing a major role in this effort with more than 30 projects underway totaling close to $600 million – predominantly in AL, GA, TN, KY, NC. Key projects underway include Whirlpool Manufacturing Complex, Cleveland, TN; Caterpillar Manufacturing, Winston-Salem, NC; Siemens Gas Turbine, Charlotte, NC; Mitsubishi Power Systems Americas, Ft. Smith, AR; Volkswagen, Chattanooga, TN; Austal USA, Mobile, AL.

Please read the Wall Street Journal article below.

Hyundai to Double Alabama Engine Plant Capacity

By KYONG-AE CHOI

SEOUL—Hyundai Motor Co. said Tuesday it will invest $173 million to double production capacity at an engine plant in Alabama, a move that will allow most engines for its popular Elantra compact car can be produced locally rather than shipped from South Korea.

The expanded Alabama plant will have a total annual capacity of 600,000 engines, which will be used in the Elantra, Santa Fe SUVs, and the Sonata midsize sedan. The Sonata uses a different engine from the one used in the Elantra and the Santa Fe.

Following the expansion, local supply of all engines needed for the vehicles will be possible, a spokesman from South Korea’s top auto maker by sales said, although some engines may still need to be shipped to the U.S. from domestic plants depending on demand for the company’s vehicles.

Construction of the engine plant expansion is scheduled to be completed in the fall of 2011 with initial production set to begin in March 2012, the state of Alabama said in a statement. The expansion is expected to add about 214 employees.

Hyundai has seen growing demand globally for its fuel-efficient Elantra and Sonata models, with some analysts saying the company’s best option would be to build a new plant to meet rising orders.

However, Hyundai has said it has no plan to build a new production facility and will instead focus on increasing output through creating greater efficiencies at existing facilities and increasing overtime work.