Hyundai Motor India will invest Rs 11,000 crore in phases to expand its Pune manufacturing facility, with annual vehicle production capacity planned to rise from 170,000 units to 320,000 units by 2030. The company said the investment will also support industrial development, innovation and employment generation in the region.
The announcement was made by Hyundai Motor India Managing Director and CEO Tarun Garg at the inauguration of the Pune plant. “We will invest Rs 11,000 crore in phases at this facility,” Garg said, according to Economic Times.
The Pune facility currently has an installed annual capacity of 170,000 vehicles. Hyundai plans to scale this up in phases over the next four years. The plant also includes an engine shop with advanced manufacturing technologies and an annual production capacity of 150,000 engines, which will support vehicle manufacturing.
The expansion is part of Hyundai’s broader investment strategy for India. The automaker had earlier announced a $15.5 billion commitment over seven years covering manufacturing expansion, research and development infrastructure, local supplier development for parts localisation and future technology innovation.
Hyundai Motor Group Executive Chair Euisun Chung said India remains one of the company’s most important and strategic markets globally. His comments came as the company marked 4 million cumulative passenger vehicle exports from India since 1999, a milestone Hyundai linked to the competitiveness of Indian manufacturing and the country’s role in its global operations.
The Pune investment also changes the distribution of Hyundai’s manufacturing footprint in India. Combined with its operations in Chennai, the company’s total manufacturing capacity is expected to reach nearly 1.14 million vehicles annually by 2030. The expansion therefore places Pune within a larger national manufacturing network rather than treating it as a standalone facility.
For the Pune region, the company has specifically linked the project to industrial development, employment generation and innovation. The announcement, however, did not provide a phase-wise investment schedule, details of additional land or buildings, the number of new jobs expected, or the specific vehicle and technology programmes that will be located at the plant.
The investment follows Hyundai’s effort to deepen its manufacturing and supplier base in India. Alongside higher vehicle capacity, the company’s seven-year strategy includes local supplier cultivation and parts localisation, indicating that the expansion will involve production capacity as well as the industrial systems supporting it.
Hyundai Motor India shares closed almost flat at Rs 1,967 per share on Wednesday, according to the report. The company’s next milestones will be the phased implementation of the Pune expansion and the planned increase in capacity towards the 320,000-unit annual target by 2030.
