Hyundai Motor India Begins Engine Production at Talegaon Facility to Strengthen Local Manufacturing!

Hyundai Motor India Ltd (HMIL) has marked a significant milestone in its expansion plans with the commencement of passenger vehicle (PV) engine production at its Talegaon facility in Maharashtra, which officially began on June 16, 2025. This move is expected to significantly enhance the company’s local manufacturing capabilities, aligning with its long-term growth strategy for the Indian market.

The start of PV engine production at the Talegaon plant is a crucial step toward Hyundai’s ambition to further solidify its presence in the Indian automotive sector. The plant, which was acquired from General Motors India in 2023, has an annual production capacity of 130,000 units. This addition strengthens Hyundai’s operational footprint in the country and supports the company’s objective to cater to both domestic and international demand efficiently. The successful start of engine production is a key part of Hyundai’s broader strategy to establish full-scale manufacturing operations at the site. However, Hyundai has indicated that a separate announcement will be made regarding the launch of passenger vehicle production at this facility in the near future.

Hyundai’s decision to enhance its manufacturing capabilities with the Talegaon facility follows the company’s acquisition of the plant’s assets in January 2024, a move that will help meet the growing demand for Hyundai’s vehicles in India and globally. The Talegaon facility’s transformation is aimed at accommodating the production needs of Hyundai’s expanding portfolio, which includes a mix of traditional internal combustion engine (ICE) vehicles and electric vehicles (EVs). The plant will play an important role in the company’s goal of increasing production capacity while remaining competitive in the rapidly evolving automotive industry.

HMIL’s current annual production capacity stands at 824,000 units, supported by two manufacturing plants in Sriperumbudur, near Chennai. With the addition of the Talegaon facility, Hyundai’s total production capacity in India will increase to approximately 1.074 million units annually, once the plant becomes fully operational by the third quarter of FY2025. This expansion represents a key part of Hyundai’s broader strategy to cater to both domestic and international markets, with India being a central pillar of the company’s global growth plans.

Hyundai Motor India is not only a leader in the Indian automotive market but also the leading car exporter from India. The company currently exports vehicles to over 80 countries, with key markets including the Middle East, Africa, South Asia, and Latin America. The company is also eyeing expansion into advanced markets like Australia, bolstering its position as a global leader in the automotive sector.

Looking toward the future, Hyundai India is poised to play a key role in the company’s planned global capacity expansion. By 2030, Hyundai aims to achieve a 1-million-unit increase in global production capacity, with India expected to contribute one-fourth of this capacity addition. To support this growth, Hyundai India has plans to introduce 26 new models by 2030, including 20 internal combustion engine (ICE) vehicles and 6 electric vehicles (EVs). These models will include new launches, complete redesigns, and product updates, ensuring a robust and diversified portfolio that caters to the evolving preferences of Indian consumers.

Hyundai Motor India’s role as a leader in the automotive industry is expected to grow even further in the coming years. With a strong emphasis on sustainability, advanced mobility solutions, and cutting-edge technology, the company is committed to driving innovation and progress. The expansion of its manufacturing capacity and product diversification, combined with a strategic focus on exports, positions Hyundai India as a critical player in the company’s global vision of “Progress for Humanity.” The Talegaon facility, as a cornerstone of this strategy, will significantly contribute to Hyundai’s success in the Indian and global automotive markets.