WASHINGTON, D.C.:/SEOUL: Hyundai Motor Group is set to dramatically expand its U.S. footprint, with a US$20 billion investment that includes building a new steel plant in Louisiana, according to a U.S. official.

The announcement was made this week at the White House alongside President Donald Trump, Hyundai Chairman Euisun Chung, and Louisiana Governor Jeff Landry.

The $5 billion steel facility is part of a broader push by the South Korean automaker to boost U.S. operations amid escalating trade tensions. Landry previously traveled to South Korea in October to meet with Hyundai leadership and discuss the proposal.

Numerous corporations have unveiled U.S. investment plans in recent months, some of which consolidate earlier commitments. Hyundai had previously announced a $10 billion U.S. investment in 2022, slated through 2025.

It is unclear how much of that amount is included in the new $20 billion figure. Hyundai Motor declined to comment, and Hyundai Steel was not immediately available.

Hyundai Steel had earlier acknowledged evaluating a new U.S. facility, warning that higher tariffs could negatively affect South Korea's steel industry. "A hike in U.S. tariffs would have a negative impact on the Korean steel industry," the company said this month.

The investment comes just as Trump threatens to impose sweeping new tariffs on countries with significant trade surpluses with the U.S., including South Korea. Effective April 2, reciprocal tariffs could be applied to a broad range of goods.

Trump has already reinstated 25 percent global tariffs on steel and extended them to products like bolts, bulldozer blades, and soda cans to protect domestic metal producers.

Automakers have voiced concern over possible auto tariffs. General Motors CEO Mary Barra recently met with Trump, citing the company's plan to invest $60 billion in the U.S. while expressing concern over trade policy uncertainty.

Hyundai will also host an opening ceremony on March 26 for its $7.59 billion electric vehicle and battery plant in Georgia. The company already operates a factory in Alabama, while its affiliate Kia has a manufacturing site in Georgia.

"More investments, more jobs, and more money in the pockets of hardworking Americans," White House press secretary Karoline Leavitt posted, linking to news of the deal.