Strategic Investment Overview
Hyundai Motor Group announced a comprehensive USD 15.5 billion investment strategy for India spanning from 2026 through 2032. The investment positions India as a core strategic market for the Group's future growth, emerging market expansion, and next-generation automotive innovation.
Meeting with Government Leadership
The investment initiative was discussed during a meeting between Indian Prime Minister Hon'ble Shri Narendra Modi Ji and Hyundai Motor Group Executive Chair Mr. Euisun Chung at the Prime Minister's Office in New Delhi on October 13, 2026.
Investment Structure and Execution
The Group will establish a dedicated investment entity in India to systematically coordinate and execute investments across R&D infrastructure, future technologies, and the broader automotive industry ecosystem. This entity will serve as a platform to identify local partners, support strategic partnerships, and foster collaboration with local suppliers.
Investment Allocation and Focus Areas
The seven-year investment spans four key areas:
- Manufacturing Expansion: Expansion of manufacturing capacity across Hyundai Motor India Limited and Kia India Pvt. Limited to support significant volume growth and position India as a leading global export platform
- R&D Infrastructure and Technology: Establishment of a complete R&D system in India with approximately USD 700 million investment planned for the R&D center, including its vehicle testing track, to accelerate next-generation automotive technology development
- Local Supply Chain Resilience: Strategic investments in regional partners to enhance parts localization, identify excellent local suppliers, and build a stable, resilient supply-chain ecosystem
- Future Mobility Innovation: Strategic investments in emerging opportunities including support for high-potential startups, expansion into new mobility services, automotive financing, EV charging infrastructure, and end-of-life vehicle recycling
Current Operations and Capacity
The Group currently employs more than 24,000 people across India and has established comprehensive production capacity of more than 1.4 million vehicles annually:
- HMIL's facilities in Chennai: 824,000 units capacity
- HMIL's latest manufacturing facility in Pune: 170,000 units capacity (scheduled to be scaled up in phases)
- Kia India's Anantapur plant: 431,000 units capacity
The Group has also established component and service operations through its affiliates including Hyundai Mobis, Hyundai Transys, Hyundai Capital, Hyundai Wia and Hyundai Glovis.
Economic and Social Impact
The investment is expected to create high-quality employment opportunities across manufacturing, R&D, engineering, and supply chain sectors, while stimulating employment across the broader automotive ecosystem. The Group has cumulatively contributed approximately USD 110 million to social welfare, education, skill development and community programs across India since 2016 through its major affiliates.
Management Commentary
Euisun Chung, Executive Chair of Hyundai Motor Group, stated: "India remains one of Hyundai Motor Group's most important and strategic markets globally. The past 30 years have been defined by our commitment to India. This investment reaffirms our commitment to India for the next 30 years and beyond. Through this investment, we will create more employment opportunities and work together with our partners and stakeholders to support India's continued industrial development."
Social Initiatives
The Group's commitment to India includes diverse social initiatives including the Samarth campaign for disability inclusion and the planned HATS (Hyundai Academy for Technical Skills) vocational training institute in Chennai.