JIOS Aerogel Inks Hyundai Deal, Validating New EV Supply Chain Model

SINGAPORE – Jan. 15, 2026 – JIOS Aerogel, a global leader in advanced silica aerogel technology, has solidified its position in the electric vehicle supply chain through a landmark agreement with Hyundai Motor Group. The company announced today that its Korean manufacturing licensee has secured a major 12-year contract to supply Thermal Blade® thermal runaway barriers for Hyundai and Kia's next-generation electric vehicles and their highly anticipated Purpose Built Vehicle (PBV) models.

This long-term partnership, awarded after a formal tender process, marks the first major contract realized under JIOS's innovative “Hub & Spoke” business model. Mass production is scheduled to begin in June 2027, securing a critical safety component for Hyundai's ambitious electrification roadmap. The deal not only provides a significant, long-term revenue stream for JIOS but also serves as a powerful validation of its technology and manufacturing strategy at the highest tier of the global automotive industry.

A New Blueprint for Global Manufacturing

The contract's significance extends beyond its financial value; it is a proof of concept for JIOS's capital-efficient “Hub & Spoke” model, introduced in 2025. This strategy redefines how specialized technology can be scaled globally. The model centralizes the production of JIOS's core proprietary aerogel powders at its Korean facility—the “Hub”—to ensure stringent quality control and cost efficiency.

This high-purity powder is then supplied to a global network of licensed partners—the “Spokes”—who are typically experienced automotive suppliers located near major car manufacturing centers. These Spokes handle the final high-volume assembly of the finished Thermal Blade® barriers. This decentralized approach allows JIOS to rapidly expand its global footprint, meet regional production demands, and support localized supply chains without the immense capital investment required to build and operate numerous downstream assembly plants worldwide.

“By separating upstream powder production from downstream assembly, JIOS can scale revenue without repeated heavy investment in new facilities,” said Stephen Kang, CEO and Co-Founder of JIOS. “Our licensees manage the local assembly footprint, allowing JIOS to build a global network that scales faster than our vertically integrated peers. This capital-efficient approach preserves our resources for high-value technology development while ensuring our business grows in lockstep with global EV demand.”

This model directly challenges the traditional vertical integration approach common in the materials industry, offering a more agile and financially sustainable path to growth. It allows JIOS to focus on its core competency—pioneering low-cost aerogel technology—while leveraging the manufacturing expertise and existing relationships of its regional partners.

The Critical Role of Aerogels in EV Safety

The adoption of JIOS's Thermal Blade® by an automotive giant like Hyundai underscores the growing importance of advanced thermal management in electric vehicles. The primary challenge this technology addresses is thermal runaway, a dangerous chain reaction in lithium-ion batteries where a single failing cell can overheat and cause adjacent cells to fail, potentially leading to a vehicle fire. As automakers push for higher energy density and faster charging, the risk of thermal events increases, making robust safety solutions non-negotiable for consumer confidence and regulatory compliance.

Silica aerogels, often called “solid smoke,” are uniquely suited for this task. Composed of up to 99% air, they are the lightest solid materials known and offer exceptional thermal insulation properties. JIOS's Thermal Blade® acts as an ultra-thin, lightweight firewall between battery cells, capable of withstanding temperatures exceeding 1000°C. This barrier effectively contains a thermal event within a single cell, preventing its propagation throughout the battery pack and giving occupants critical time to exit the vehicle safely.

Historically, the high cost of aerogel production limited its use to niche aerospace and industrial applications. JIOS Aerogel, founded in 2013, was built on a mission to disrupt this barrier. The company pioneered a novel manufacturing process that dramatically lowers the production cost and time, making aerogels commercially viable for the mass-market automotive industry. This contract with Hyundai is a culmination of that effort, signaling a broader industry shift toward high-performance materials for EV safety. The global market for EV battery thermal management systems is projected to surge from around $5.4 billion in 2024 to nearly $30 billion by 2030, and advanced materials like aerogels are poised to capture a significant share of this growth.

Powering Hyundai's Ambitious EV Future

The timing of the agreement aligns perfectly with Hyundai Motor Group's aggressive push toward an electrified future. The conglomerate aims to sell 1.87 million battery electric vehicles (BEVs) annually by 2030 and is launching 17 new BEV models across the Hyundai and Genesis brands. These vehicles will be built on a next-generation Integrated Modular Architecture (IMA), which standardizes components to reduce cost and complexity.

A cornerstone of this strategy is the focus on Purpose Built Vehicles (PBVs)—a new category of mobility solutions designed for specific applications like logistics, ride-hailing, and mobile living spaces. Kia is spearheading this initiative, with a dedicated PBV factory set to begin production in 2025. By securing JIOS's Thermal Blade® for these future models, Hyundai is embedding a critical layer of safety technology into the very foundation of its next-generation fleet.

This partnership also reflects the automotive industry's strategic pivot toward localized and resilient supply chains. The “Hub & Spoke” model enables JIOS's licensee to produce the thermal barriers in Korea, in close proximity to Hyundai and Kia's final assembly plants.

“Our footprint aligns with the industry trend of localized manufacturing close to final assembly points,” noted James Lee, Chairman and Co-Founder of JIOS. “We are delighted that our first licensee has secured this contract with Hyundai. This success provides a proven blueprint as we finalize similar partnerships with manufacturers in other key automotive regions.”

The deal positions JIOS as a key enabler of Hyundai's vision, providing not just a component, but a guarantee of advanced safety and a resilient supply solution. As JIOS looks to replicate this model in Europe and North America, this first success serves as a powerful case study for other global automakers.