Hyundai Motor Group To Invest $15.5 Billion In India With Hyundai And Kia Expansion Planned
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Hyundai’s India commitment spans seven years and includes around $700 million for its R&D centre. A dedicated investment entity will oversee the programme, which also covers local suppliers and opportunities in EV charging, vehicle recycling and automotive financing.
Hyundai Motor Group will invest $15.5 billion in India between 2026 and 2032, expanding manufacturing at Hyundai Motor India and Kia India as the South Korean group strengthens its presence in the country. The seven-year programme also covers research and development, local suppliers and new automotive technologies.
Announced on Tuesday, October 13, after Executive Chair Euisun Chung met Prime Minister Narendra Modi in New Delhi, the plan positions India as a key base for the group’s future growth and exports. Hyundai will set up a dedicated investment entity to coordinate the programme and develop partnerships with Indian businesses.
The group plans to invest about $700 million in its Indian R&D centre, including a vehicle testing track. Manufacturing expansion across Hyundai and Kia will support higher volumes and greater localisation. The overall commitment covers the group’s wider Indian operations; it is not an investment allocated entirely to listed Hyundai Motor India.
Hyundai Motor India And Kia Production Capacity To Expand
The group already has annual manufacturing capacity of more than 1.4 million vehicles in India, spread across Hyundai’s Chennai and Pune facilities and Kia’s Anantapur plant.
Hyundai said Pune capacity would increase in phases. Its investment programme aims to strengthen India’s position as a global export base while developing the local supplier network.
Hyundai India Investment Includes R&D And Future Mobility
Beyond production, the group will explore automotive financing, EV charging infrastructure and end-of-life vehicle recycling. The new investment entity will also identify local partners and coordinate technology investments.
“India remains one of Hyundai Motor Group’s most important and strategic markets globally,” Chung said in the announcement.
He said the commitment would create employment opportunities and support India’s industrial development
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Rochelle Britto has spent 8+ years decoding India's markets, businesses, and consumer economy, reporting for ET Prime and Times Internet along the way, covering the stories behind the numbers.
A Mumbai native and perpetual planner of the next holiday, she stays far, far away from the eternal question, “Where are we going next?” When she's not chasing headlines, she's chasing new cultures, open roads, and a bit of quiet in nature.
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