The experienced engineer has previously held the technical director role at Volkswagen during its domination of the World Rally Championship, where it scored four drivers’ and manufacturers’ titles form 2013-2016.
He then joined former VW motorsport boss Jost Capito as technical director at Williams before leaving the F1 team last year.
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Demaison's appointment at Hyundai comes after new team principal Cyril Abiteboul expressed a wish to establish a technical leader within the team earlier this year.
In his new technical director role, Demaison will liaise with research and development groups within the wider Hyundai organisation and manage the vehicle and powertrain departments for the marque’s motorsport activities - which currently include WRC, TCR and ETCR.
He will also work closely with WRC programme manager Christian Loriaux in developing the i20 N Rally1 car.
The announcement states that Demaison will play a role in determining Hyundai’s future motorsport programmes alongside Abiteboul and Hyundai Motorsport president Sean Kim.
Hyundai has this year been linked with possible expansions into other motorsport disciplines, including F1 and the World Endurance Championship.
Source: Autosport