Last Updated: January 17, 2024, 11:55 IST
Hyundai Motors To Invest In Maharashtra For Its Second Plant, Commits Rs 7,000 Crore Investment. (Photo: Manufacturing Today)
Hyundai Motor Company intends to build its second plant in India in Talegaon, Maharashtra, for Rs 7,000 crore.
Hyundai Motor Company, the South Korean multinational automotive manufacturer, plans to rehabilitate its recently acquired second plant in India with a sizable investment of Rs 7,000 crore.
Hyundai Motor intends to invest the funds to repair General Motors’ mothballed plant in Maharashtra.
With the successful acquisition of the idle plant from General Motors Co., the automotive behemoth brought about a dramatic change in the Indian auto industry. The investment deal is about to be formally signed in Davos, Switzerland, during the annual World Economic Forum summit.
Maharashtra’s Deputy Chief Minister Devendra Fadnavis recently confirmed this news on his X platform (formally known as Twitter), expressing the state’s enthusiasm for this big economic collaboration as reported by ET.
The Maharashtra Deputy Chief Minister announced that Hyundai has confirmed a Rs 7,000 crore investment in Talegaon, Pune. He also stated that this will be the automaker’s first investment in India outside of Tamil Nadu, where the company has been investing and doing business successfully for over 25 years.
He further informed that Hyundai will sign a Memorandum of Understanding (MoU) with the Government of Maharashtra (GoM) 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 ₹ , .They also sought advice… pic.twitter.com/RrX2zsdW9V
— Devendra Fadnavis (@Dev_Fadnavis) January 13, 2024
Hyundai made headlines last year when it acquired the Talegaon General Motors factory. The facility had been inactive for a long time as a result of the American automaker’s struggles to sell it after exiting the Indian market.
Meanwhile, Hyundai’s large investment demonstrates the company’s dedication to growing its presence in India. It is anticipated that the infusion of Rs 7,000 crore into the Indian market will have a knock-on effect, strengthening Hyundai’s position in the cutthroat Indian auto industry, encouraging the local economy, and generating job opportunities.
The automaker’s production capacity should increase dramatically with the new plant. Its 8.25 lakh annual production capacity at its Tamil Nadu manufacturing facility makes it the second-largest carmaker in India at the moment.
However, it is unclear what increased production capacity the brand will have once the Talegaon plant is operational. The date on which it will resume functioning to begin distributing Hyundai automobiles is also unknown.
The automaker reportedly has been concentrating on SUVs in order to keep up with the country’s growing demand for utility vehicles. According to reports, Hyundai also intends to invest Rs 200 crore over the next eight years in the production of new electric cars, a battery pack assembly unit, and EV charging stations on Tamil Nadu’s main thoroughfares.
