Hyundai Motor Group to plug $15.5 billion in India's automotive sector

[indo17787]

Oct 13 (Reuters) - Hyundai Motor said on Tuesday it would invest $15.5 billion in India through 2032 to expand manufacturing and develop new automotive technologies, positioning the ‌country as a key market for future growth.

The South Korean automaker's seven-year plan includes a dedicated investment entity in India and spans manufacturing expansion, research and development infrastructure and local supply chains.

India, the world's third-largest car market, has become ⁠an increasingly important growth market for global automakers which are seeking to expand production, increase local sourcing and develop vehicles suited to Indian consumers. The group plans to invest about $700 million in its Indian research and development centre, including a vehicle testing track, as part of efforts to develop next-generation automotive technologies.

The investment announcement followed a meeting between Hyundai Motor Group Executive Chair Euisun Chung and ‌Indian ⁠Prime Minister Narendra Modi in New Delhi on Tuesday.

The investment plan, covering 2026 to 2032, will expand manufacturing capacity at Hyundai Motor India and Kia India to support significant volume growth, the company said.
⁠
Hyundai Motor Group, which employs more than 24,000 people in India, said the investment would create additional jobs across manufacturing, research, engineering and supply ⁠chains, without specifying a number. Hyundai Motor Group currently has an annual production capacity of more than 1.4 million vehicles in ⁠India, comprising 824,000 units at Hyundai's Chennai facilities, 170,000 units at its Pune plant and 431,000 units at Kia's Anantapur facility.

https://www.hyundai.com/worldwide/en/newsroom/detail/0000001288 @Nimble @Vikramaditya1 @Sam6536

 

[indo17787]

Hyundai bets on Talegaon as export hub, capacity expansion fuels growth ambitions​

Hyundai bets on Talegaon as export hub, capacity expansion fuels growth ambitions

Hyundai's Talegaon expansion boosts India’s export hub status with higher capacity, new launches, and growing global sales ambitions.

www.thehindubusinessline.com

 

[Michael]

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Oct 13 (Reuters) - Hyundai Motor said on Tuesday it would invest $15.5 billion in India through 2032 to expand manufacturing and develop new automotive technologies, positioning the ‌country as a key market for future growth.

The South Korean automaker's seven-year plan includes a dedicated investment entity in India and spans manufacturing expansion, research and development infrastructure and local supply chains.

India, the world's third-largest car market, has become ⁠an increasingly important growth market for global automakers which are seeking to expand production, increase local sourcing and develop vehicles suited to Indian consumers. The group plans to invest about $700 million in its Indian research and development centre, including a vehicle testing track, as part of efforts to develop next-generation automotive technologies.

The investment announcement followed a meeting between Hyundai Motor Group Executive Chair Euisun Chung and ‌Indian ⁠Prime Minister Narendra Modi in New Delhi on Tuesday.

The investment plan, covering 2026 to 2032, will expand manufacturing capacity at Hyundai Motor India and Kia India to support significant volume growth, the company said.
⁠
Hyundai Motor Group, which employs more than 24,000 people in India, said the investment would create additional jobs across manufacturing, research, engineering and supply ⁠chains, without specifying a number. Hyundai Motor Group currently has an annual production capacity of more than 1.4 million vehicles in ⁠India, comprising 824,000 units at Hyundai's Chennai facilities, 170,000 units at its Pune plant and 431,000 units at Kia's Anantapur facility.

https://www.hyundai.com/worldwide/en/newsroom/detail/0000001288 @Nimble @Vikramaditya1 @Sam6536

I initially suspected this was a fake news story. However, after looking into the details, I discovered it was actually true. Yet, there is an even more interesting aspect to this.

Although Hyundai Motor has ramped up investment in the EV sector in recent years and possesses strong technical capabilities, it remains a peripheral player in the global EV industry; fundamentally, it is still a traditional automaker.

Driven by broader market trends, almost all traditional automakers are experiencing a sharp decline in performance, and Hyundai has been hit particularly hard. Under these circumstances, the company simply lacks the capacity to absorb an investment of $15.5 billion. Even if Hyundai were to make a desperate, all-in bet to revitalize the business, it would not choose India—the country suffers from a severe brain drain of STEM talent and lacks the capacity to accommodate an investment of this magnitude.

Upon further research and analysis, I discovered an interesting point.

India’s Department of Industrial Policy and Promotion (DIPP) explicitly defines CKD (Completely Knocked Down) assembly operations as "manufacturing" and makes them eligible for the automatic approval route for foreign investment. This means that, from a legal standpoint, Indian authorities actively equate "importing components for local assembly" with "manufacturing-sector FDI."

Alright. I'll stop here. You can figure out the rest for yourselves.

* Btw, South Asian countries such as Pakistan, India, and Bangladesh have similar policies that defy conventional logic. Therefore, we need to take this factor into account when analyzing economic activity in these nations.

 

[indo17787]

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You are all over the place in your post.

1. Are you saying that the news is false? You have yourself accepted that it is not false.

2. Are you saying that you know better than Hyundai management about the capacities of the company and can plan better for it's future growth? Then, why are you wasting your precious time on this forum? You should immediately book one way ticket to Seoul and become the CEO of Hyundai (by defeating current CEO in 1V1 bettle.)

3. Are you saying that Hyundai won't be able arrange 15 billion dollars? Then, you know more about finances of Hyundai better than it's current CFO. Again, immediately book a one way ticket to Seoul and become the CFO of Hyundai.

4. Are you saying that India's policy is not "logical", you need to "research and analysis (wing)" more about it. Automated approval for CKD manufacturing doesn't mean it'll be financially viable. Have you noticed the import duty on CKD car kits?

Use your brain more and take less help from AI.

I feel like something’s burning. Anyone else smell it? The guys across the northern border are coping hard over the Hyundai investment India just secured. Usually, you only see this kind of cash moving for semiconductor projects but now that Hyundai is dropping serious money here, they’re losing it. They’re calling Hyundai desperate, questioning our STEM talent and whether India can even handle a deal this big. Nitpicking CKD imports and localisation metrics to make themselves feel better. It's hilarious they are calling Hyundai a peripheral player in EVs. Who's the desperate one now?
@Vikramaditya1 @Nimble @Sam6536

Hyundai India Cost 15% Below Global Baseline, Says CEO Muñoz | Autocar Professional

Hyundai's India cost position is over 15% better than its global baseline, CEO José Muñoz says, as exports and localisation scale toward 2030.

www.autocarpro.in

 

[indo17787]

Hyundai’s Korean Suppliers Looking to Increase Manufacturing Footprint in India​

Hyundai’s Korean Suppliers Looking to Increase Manufacturing Footprint in India

Around fourteen South Korean die and mould manufacturers and plastic injection moulded auto component producers are exploring opportunities to establish manufacturing facilities in India. These co…

machinist.in

 

[indo17787]