Telangana Chief Minister A Revanth Reddy has pitched Hyderabad as a potential location for a Hyundai car manufacturing facility, while assuring the company of state support to advance its planned ₹8,528-crore integrated research and development project at Zaheerabad.
Reddy made the pitch during a meeting with a delegation from Hyundai Motor India Engineering (HMIE), led by its managing director Chang Yeon Cho, in Hyderabad on Friday. The chief minister said Telangana was centrally located and that Hyderabad offered cosmopolitan, safe and liveable conditions.
The state government said it was prepared to provide all possible support to encourage manufacturing investment in Telangana. Reddy also highlighted the state’s road, air and rail infrastructure, dedicated mobility clusters and plans for high-speed connectivity with ports while presenting the case for a future Hyundai manufacturing facility.
The immediate project discussed during the meeting is the HMIE Integrated Global R&D facility at the National Investment and Manufacturing Zone in Zaheerabad. The project is planned across 678 acres, with an investment commitment of ₹8,528 crore and the potential to create 4,276 jobs, according to a press release cited in the report.
The facility is expected to be developed in phases. The HMIE delegation told the chief minister that the site could be ready for groundbreaking in the next few months. The proposed Zaheerabad R&D and mega test centre is intended to expand Hyundai India’s engineering capacity in Hyderabad and support the testing, validation and improvement of engineering processes.
Hyundai has maintained a presence in Hyderabad for about two decades. Its facility at Hitec City serves as a major research and development centre supporting advanced vehicle engineering, the state government said. The Zaheerabad project would extend that engineering presence into a larger site combining research and testing functions.
The proposal follows earlier efforts by Telangana to attract Hyundai investment. A state delegation led by Reddy met Hyundai officials during the World Economic Forum meeting in 2024. In June 2025, the Telangana cabinet sub-committee on industrial and investment promotion approved Hyundai’s proposal to establish the R&D centre.
Reddy also invited Hyundai’s leadership to the Invest Telangana Global Summit 2026, scheduled for December. During the meeting, he linked the state’s industrial expansion plans to spatial frameworks such as the Peri-Urban Region Economy, or PURE, and outlined the government’s vision for a satellite city called Bharat Future City on the outskirts of Hyderabad.
The state’s pitch places Zaheerabad within a wider manufacturing and mobility strategy rather than treating the R&D facility as an isolated investment. For the project, the proposed site, phased development model and promised employment are the concrete commitments currently identified in the announcement. The discussion about a car manufacturing plant remains a pitch from the chief minister, with no manufacturing investment or facility approval announced in the supplied report.
Cho said Hyundai’s plan to strengthen Hyderabad as a global technology and advanced engineering hub complemented the Telangana Rising 2047 vision, according to the state government’s release. The next stated milestone for the Zaheerabad facility is preparation of the site for groundbreaking in the coming months.