( Autoinsidernews) - Hyundai has announced that it will build a new engine plant at its Montgomery, Alabama assembly plant. The new plant will begin engine production in September 2008 and will cost around $270 million. The new engine plant will add 520 jobs to the Montgomery assembly plant. The engines from the plant will be used in vehicle built at Hyundai's Alabama plant, and also at Kia's new plant in West Point, Georgia.
Hyundai currently produces V6 engines used in its Sonata sedan and Santa Fe crossover in Alabama.
Hyundai also said that it will begin prodcution of hybrid vehicles in 2009, will an output of 300,000 units annually by 2015.