Hyundai's hybrid electric vehicles improve fuel efficiency dramatically compared to existing gasoline–powered vehicles. They also comply with the low pollution vehicle standards of the 'Special Law on Metropolitan Air Improvement.' Hyundai will increase distribution of these cars to 1,530 units. By the end of 2009, the company will also complete development of hybrid electric cars, allowing for 50% improved fuel efficiency and 30% improved emissions, all the while minimizing the cost augmentation generally associated with alternative–fueled cars.

As a leading global automobile manufacturer, Hyundai Motor Company is developing hydrogen fuel–cell electric cars, with a firm belief in the environmentally friendly automobile market. The company is showcasing the Santa Fe, a first–generation fuel–cell electric car, the Tucson, a second–generation fuel–cell electric car, and the i–Blue, a third–generation fuel–cell concept car. The i–Blue boasts excellent performance, including 600 kilometers of single time driving distance and a top speed of 165 kilometers, and shows Hyundai's vision of leading the environmentally friendly automobile market into the future.

The Tucson fuel–cell electric vehicle was selected as the world's best environmentally friendly car, the only car to receive an 'A' in all environmental evaluation categories at the 2007 Michelin Challenge 'Bibendum.' The Tucson fuel–cell electric vehicle was also the only car to receive a top grade in the noise evaluation category and the highest grade in fuel efficiency.

Nitrogen oxide (NOx) and fine particles (PM), which have a direct impact on people and the environment, are a challenge for automobile makers working for the reduction of automobile emission gases. Hyundai Motor Company, putting both people and the environment first, not only strictly controls the volume of its emission gases under each region's regulation standards, but also works to develop new technologies to achieve the ultimate goal of zero emission gases.

As high molecule materials such as rubber, plastic, and adhesives are widely applied in automobiles, interest in improving the air quality of new car interiors is increasing. As a result, Hyundai Motor Company has established evaluation standards with regard to the interior air quality of its new cars and is using products that satisfy these strict standards in its vehicles. In addition, since the beginning of 2008, Hyundai has been using only environmentally friendly materials that have passed the strict standards by measuring volatile organic compounds (VOC) in parts. Optimization to suppress creation of VOC volume in such areas as selection of raw materials and parts production methods in close cooperation with its affiliates is currently in progress.

Hyundai Motor Company is continually working to create a sustainable and recycling society by developing environmentally friendly cars, considering the entire process from acquisition of raw materials, development of new materials, to recycling and disposal. The QarmaQ, developed specifically as an environmentally friendly car by Hyundai, ushers in the future of environmentally friendly cars with a light weight body at a maximum 60 kilograms, thanks to advanced materials, by lowering fuel efficiency, and by dramatically reducing greenhouse gas emissions. Major new technologies applied to the QarmaQ, such as the 'C' shaped side window, using new materials other than glass, and the elastic front which reduces potential pedestrian injuries dramatically upon impact through a three–layer energy absorption structure, will be selectively applied to Hyundai's new future models.