Last Updated on October 23, 2023 by SPN Editor
In a significant development that underscores Hyundai’s commitment to India’s rapidly evolving electric car future in the automobile industry, Hyundai Motor India (HMIL) is primed to make a substantial investment of Rs. 5,000 crore in General Motors India’s (GMI) Talegaon manufacturing plant located in the state of Maharashtra.
This move aligns with Hyundai Motor Group’s ambitious plans to bolster the production of mass-market electric cars in India. The group, which encompasses both the Hyundai and Kia brands, is gearing up to introduce an array of high-volume electric vehicles tailored to suit the Indian market.
Hyundai to boost Electric car future in India with 5 EV Models by 2032
Hyundai, in particular, is embarking on an ambitious journey by unveiling a total of five EV models by the year 2032, thus boosting the electric car future. Simultaneously, Kia is preparing to kickstart the production of compact EVs specifically designed for the local market, with a planned rollout commencing in 2025. As part of their long-term strategies, both automakers intend to diversify their EV offerings across various price points.
This pivotal visit underscored the group’s vision for the Indian market, where it anticipates the sale of 50 lakh passenger cars by 2030. In this projection, SUVs are expected to account for 48 percent of the market share, while electric vehicles are poised to claim a substantial 30 percent share, reflecting the growing prominence of electric cars future in India’s automobile industry.
These revelations came to light during the visit of the executive chairman of Hyundai Motor Group, Euisun Chung, to Hyundai Motor India’s Research and Development Center.
Well-placed sources have revealed that this capital injection will not stand alone; it will be accompanied by a parallel commitment from Hyundai’s network of suppliers, pledging an equivalent sum of Rs. 5,000 crore for investments in proximity to the Talegaon facility.
This substantial investment is expected to materialize upon the resolution of a labor-management dispute that has recently plagued GMI and its workforce. With a resolution pending, HMIL and its network of partners are set to collectively funnel an impressive Rs. 10,000 crore into the Talegaon automobile production hub.
Talegaon’s existing production capacity stands at an impressive 130,000 units per year. However, this momentous infusion of capital holds the promise of significantly enhancing the facility’s capabilities and production capacities. Such enhancements could have far-reaching implications for the Indian automotive sector, as it seeks to expand its footprint in the global auto manufacturing arena.
Hyundai’s strategic investment and the unwavering commitment of its suppliers serve as a testament to their belief in the growth potential of the Indian market. It’s a resounding affirmation of their confidence in India’s emergence as a prominent player in the global automotive sector.
Moreover, their joint contribution to the expansion and technological advancement of the Talegaon plant positions India at the forefront of automotive manufacturing.
This strategic move not only demonstrates Hyundai’s commitment to the Indian market but also underscores its confidence in India’s potential as a global automotive powerhouse and its contribution to the electric car future.