Telangana Chief Minister Revanth Reddy has urged Hyundai Motor Group to consider Hyderabad for a new car manufacturing plant while offering government support to accelerate the group’s ₹8,528 crore research and development facility at Zaheerabad.
Reddy made the pitch during a meeting with a Hyundai Motor India Engineering delegation led by managing director Changyeon Cho at the Bodhi Pavilion. The meeting came days after Hyundai Motor Group announced a $15.5 billion investment plan for India between 2026 and 2032.
The proposed Hyundai Motor India Engineering integrated global R&D facility is planned at the National Investment and Manufacturing Zone in Zaheerabad. The project is expected to be developed in phases across 678 acres and carries an employment commitment of 4,276 jobs. The company told the chief minister that the facility could be ready for groundbreaking in the next few months, according to the report.
The planned centre is expected to include research, vehicle testing and engineering validation capabilities. It would expand Hyundai’s existing technical presence in Hyderabad, where the company has operated a Hitec City facility for about two decades as an advanced vehicle engineering and research centre.
Reddy presented Telangana as a potential manufacturing base by citing Hyderabad’s location, road, air and rail connectivity, dedicated mobility clusters and the state’s plans for faster links to ports. He also referred to the Peri-Urban Region framework, known as PURE, as part of the state’s approach to supporting manufacturing-led expansion around the city.
The proposal would add a major industrial dimension to Zaheerabad, where the R&D centre’s scale involves not only built-up facilities but also large land requirements, transport access and supporting services. The project’s employment commitment and planned testing functions could also increase demand for specialised suppliers, engineering services and localised automotive components, although the report does not provide a detailed supplier or infrastructure plan.
Hyundai Motor India currently operates manufacturing units in Chennai and Pune, while Kia India has a manufacturing facility in Anantapur, Andhra Pradesh. The proposed Telangana investment would therefore complement the group’s existing southern India manufacturing and engineering footprint rather than replace the facilities already in operation.
The company’s wider seven-year India investment plan is expected to cover manufacturing expansion, research and development infrastructure, supplier development, parts localisation and future vehicle technologies. Hyundai’s group companies, including Hyundai Motor India and Kia India, are expected to participate in the investment programme.
The Telangana Cabinet sub-committee on industrial and investment promotion approved Hyundai’s proposal for the R&D centre in June 2025. The state government has also been pursuing the company since a delegation led by Reddy met Hyundai officials during the World Economic Forum in 2024.
Cho said Hyundai’s plans to strengthen Hyderabad as a global technology and advanced engineering hub aligned with the Telangana Rising 2047 vision. Reddy also invited Hyundai’s leadership to the Invest Telangana Global Summit 2026 and presented the state’s proposed Bharat Future City as part of its broader development agenda.