Hyundai Motor Group Chairman Chung Euisun speaks during the B20 Summit in Bali, Indonesia, Sunday. Courtesy of Hyundai Motor Group

Chairman Chung delivers speech at B20 Summit in Indonesia

By Baek Byung-yeul

The world needs determination and leadership to use more sustainable energy sources such as renewable and hydrogen to tackle the climate change crisis, Hyundai Motor Group Chairman Chung Euisun told business leaders attending the G20 Summit, Sunday.

"Now is the time for bold decisions. And now is the time for leadership," Chung said during his keynote speech at the 2020 Business 20 (B20) Summit in Bali, Indonesia.

The B20 Summit was held on the sidelines of the G20 Bali Summit, where world leaders have gathered to promote global economic stability and sustainable growth.

To address climate change, Chung referred to the automotive industry, which adopts renewable energy sources rapidly.

"The fact is that the world is facing a climate change crisis. The auto industry is rethinking energy and investing in renewable energy, but it is an endeavor that we cannot pursue alone. With commonsense solutions, the government and industry can provide the right incentives to businesses and consumers to embrace clean mobility," he said.

"But climate change is not the only reason to accelerate our transition to sustainable energy. The world is facing a myriad of economic challenges ― the social and economic aftershocks of COVID-19, a global semiconductor shortage, inflation, rising interest rates and the soaring prices of raw materials."

Chung also highlighted the carmaker's move to attain carbon neutrality as its two main carmaking firms ― Hyundai Motor and Kia ― plan to achieve net zero emissions throughout their entire value chains, including supply, production, logistics and disposal.

"We are pursuing a net zero strategy across all our value chains, including the purchase of auto parts, vehicle manufacturing, logistics, customer use of our products and vehicle recycling. We need the strong support of global leaders who create policies that encourage investment in these new resources and technologies," he said.

He added that hydrogen energy can be a future clean energy solution, saying, "With renewables come different challenges ― including limits on supply and storage. Hydrogen can solve many of these issues. And now, there is a global consensus on the importance of hydrogen as a future, limitless energy solution."

On the sidelines of the summit, Hyundai Motor also announced that it signed a contract with Indonesia-based PT Adaro Minerals Indonesia Tbk for aluminum supply as part of its efforts to secure a stable supply of raw materials.

The carmaker said that it signed the deal to resolve supply uncertainties caused by external variables and secure aluminum stably amid growing demand for aluminum for car manufacturing due to the recent expansion of the global electric car market.