Hyundai plans second plant in India, commits ₹7k cr investment in Maharashtra

Hyundai Motor Company plans to invest ₹7,000 crore in India. The South Korean auto manufacturer aims to invest the amount for fixing the mothballed factory of General Motors in Maharashtra. The automaker has already purchased the plant and now aims to fix the factory to make it ready for operations. Maharashtra's Deputy Chief Minister Devendra Fadnavis has confirmed the news via a post on X platform (previously known as Twitter).

The Maharashtra Deputy CM wrote that Hyundai has confirmed ₹7,000 crore investment in Talegaon, Pune. He also wrote that this will be the first investment of the auto manufacturer in India beyond Tamil Nadu, where the company has been investing and doing business successfully for more than 25 years. He further wrote that Hyunai will sign a MoU with the Government of Maharashtra at the World Economic Forum summit in Davos.

It was a great pleasure to meet Mr. Kim Unsoo, MD and CEO of Hyundai Motor India (HMI) along with Executive Director J.W Ryu and HMI senior officials.
They apprised me on HMI’s ₹𝟕𝟎𝟎𝟎 𝐜𝐫𝐨𝐫𝐞 𝐢𝐧𝐯𝐞𝐬𝐭𝐦𝐞𝐧𝐭 𝐢𝐧 𝐓𝐚𝐥𝐞𝐠𝐚𝐨𝐧, 𝐏𝐮𝐧𝐞.

They also sought advice… pic.twitter.com/RrX2zsdW9V

— Devendra Fadnavis (@Dev_Fadnavis) January 13, 2024

Bloomberg in a report has claimed that Hyundai will make phased investments to upgrade the existing infrastructure and manufacturing equipment at the Talegaon plant, which it purchased from General Motors in 2023. The plant stood idle for years after the US-based auto company struggled to sell it off following its exit from India.

The new plant is expected to boost the automaker's production capacity significantly. Currently, it is the second biggest carmaker in India with an annual production capacity of 8.25 lakh units at its Tail Nadu manufacturing facility. However, it is not confirmed yet what would be the increased production capacity for the brand when the Talegaon plant becomes operational. Also, it is not confirmed yet when it will be functional again to roll out Hyundai cars.

The automaker has been focusing on SUVs, keeping in sync with the rising demand for utility vehicles across the country. Hyundai is also planning to invest ₹200 crores over the next eight years in making new electric vehicles, a battery pack assembly unit and EV charging stations on major highways in Tamil Nadu.

Check out Upcoming Cars in India 2024, Best SUVs in India.