Hyundai Motor Group is going to invest $15.5b in India to build manufacturing capacity from 2026 to 2032 and also research and development – R&D infrastructure as well as local sourcing of components as it aims to reinforce the country’s standing as a global automotive hub.

Indian Prime Minister Narendra Modi, along with Euisun Chung, Hyundai Motor Group Executive Chair, had discussed the investment plan in a meeting at the Prime Minister’s Office in New Delhi on October 13, 2026.

The South Korean automotive major said in a statement the seven-year investment would be for manufacturing expansion, future technology advancement, local supplier alliances, and infrastructure development.

The Group will ramp up production capacity at Hyundai Motor India Ltd. – HMIL and Kia India Pvt. Ltd. in order to cater to growing demand and enhance localization. India will also be established as one of the leading global export bases of the group.

Hyundai Motor Group will set up an independent investment entity to manage $15.5b in India to build manufacturing capacity. It will be in charge of investments in R&D and future technologies along with the broader automotive ecosystem, as well as locating local partners and enhancing supplier partnerships.

It is well to be noted that India continues to be one of the most important and strategic markets as far as Hyundai Motor Group is concerned, and that too globally. As per Mr. Chung, “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.”

The group is looking to expand its R&D capabilities in India via infrastructure expansion and talent acquisition. It has allocated about $700 million to its R&D center that includes a vehicle testing track to speed up the development of next-generation automotive technology and make India a key innovation hub.

Hyundai will also look at opportunities for specialized automotive finance, electric vehicle – EV charging facilities, and end-of-life vehicle recycling.

The Group, which has over 24,000 employees in India, anticipates the investment will create high-value jobs in manufacturing, engineering, R&D, and, of course, supply chains.

Hyundai Motor Group’s yearly production capacity in India is over 1.4 million vehicles, including HMIL’s Chennai facility – 824,000 units, the Pune plant – 170,000 units and Kia India’s Anantapur facility – 431,000 units.

Pune’s capacity will be ramped up in stages, further broadening the group’s manufacturing presence.