Pune: Hyundai Motor India Limited (HMIL) will invest up to ₹11,000 crore in its Pune manufacturing plant, as the automaker plans a major expansion of production capacity, localisation and its regional supplier ecosystem in Maharashtra.
Spread across 300 acres, the state-of-the-art Hyundai Motor India Pune Plant at Talegaon in Maharashtra was formally inaugurated on October 14, 2026.
The plant currently has an annual production capacity of 1.7 lakh vehicles, which Hyundai plans to increase to 3.2 lakh vehicles by 2030.
With its Chennai operations, Hyundai Motor India’s combined annual manufacturing capacity is expected to reach 11.4 lakh vehicles by 2030.
Hyundai Motor India Pune Plant Investment Raised to ₹11,000 Crore
Hyundai Motor India Managing Director and CEO Tarun Garg said, “The Pune facility is among Hyundai Motor Company’s advanced global manufacturing plants and incorporates Industry 4.0 technologies, including Hyundai’s E-FOREST digital factory platform, AI-enabled quality inspection, workforce safety solutions and augmented reality (AR)-based workforce training.
The plant is also among the few air-conditioned automobile manufacturing facilities in India.”
Manufacturing Capacity to Rise from 1.7 Lakh to 3.2 Lakh Vehicles
A key component of Hyundai’s Pune expansion is the planned increase in annual production capacity from 1.7 lakh vehicles to 3.2 lakh vehicles by 2030.
“The expansion will also contribute to Hyundai Motor India’s overall production capabilities. Together with the Chennai plant, the company’s annual manufacturing capacity is expected to reach 11.4 lakh vehicles by 2030,” Garg said.
Localisation at Nearly 83%
Garg stated, “Localisation is another major focus of Hyundai’s Pune manufacturing expansion. Hyundai Motor India’s Tier 1 localisation level stands at nearly 83%.
Nearly half of Hyundai’s sourcing network is located within a 50-kilometre radius of the Pune plant, creating a concentrated supplier ecosystem around the facility.
Hyundai’s Pune expansion is expected to further strengthen local sourcing and value creation by increasing the role of domestic suppliers in the company’s manufacturing operations.”
Hyundai Motor India Pune Plant: 55 Suppliers Invest ₹4,600 Crore in Maharashtra
The development of Hyundai’s Pune manufacturing ecosystem has already attracted significant investment from its supplier partners.
“Fifty-five supplier partners have invested ₹4,600 crore in Maharashtra, strengthening the component manufacturing and sourcing network supporting the Pune facility.
The supplier ecosystem comprises both Tier 1 and Tier 2 vendors and has created more than 18,000 employment opportunities in Maharashtra, said Garg during the inauguration address.
The concentration of suppliers close to the manufacturing facility is also expected to support the development of ancillary industries and strengthen the wider automotive supply chain in the state.
CM Devendra Fadnavis Highlights Hyundai’s Increased Investment and Localisation
Maharashtra Chief Minister Devendra Fadnavis highlighted Hyundai’s decision to increase its planned investment from ₹7,000 crore to ₹11,000 crore and raise its proposed annual manufacturing capacity from 1.7 lakh vehicles to 3.2 lakh vehicles.
Fadnavis said, “Hyundai has made a significant mark in the Indian automobile industry, serving customers in India and abroad, and the establishment of its state-of-the-art manufacturing facility at Talegaon, Pune, marks an important milestone in our state’s industrial journey.
This reflects the company’s confidence in Maharashtra and the strength of the industrial ecosystem we have developed over the years.”
The journey to establishing this facility had its challenges, including the transfer of the facility from General Motors and labour-related issues. However, our government and officials stood firmly with Hyundai, and together we resolved the challenges to make this day possible.
Maharashtra’s Supplier Ecosystem to Support Further Localisation
Fadnavis also highlighted the significance of Hyundai’s local supplier network, particularly the proximity of component sourcing to the Pune plant.
Fadnavis said, “Maharashtra accounts for 23% of India’s automobile manufacturing and 27% of its automobile exports. Our established industrial base, skilled workforce, supplier network and infrastructure continue to attract investments in the automobile sector. With indigenous sourcing in India currently at 80% and Hyundai aiming to increase it to 90%, I foresee a future in which component sourcing and manufacturing can reach 100% in India, with Maharashtra playing a leading role.”
Technology is Transforming Automobile Manufacturing
Devendra Fadnanis further said, “This facility also demonstrates how technology is transforming automobile manufacturing. With around 250 robots supporting operations, it represents the advancement of Industry 4.0, combining automation, manufacturing efficiency, quality standards and customer satisfaction. At the same time, automation is creating opportunities across the wider industrial ecosystem.
The facility was inaugurated by Fadnavis in the presence of Lee Seong-ho, Ambassador of the Republic of Korea to India; Sunetra Ajit Pawar, Deputy Chief Minister of Maharashtra; Euisun Chung, Executive Chair – Hyundai Motor Group (HMG); Jaehoon Chang, Vice Chair – HMG; José Muñoz, President & CEO – Hyundai Motor Company (HMC); and Tarun Garg, Managing Director & CEO – HMIL.
The inauguration of the Hyundai Motor India Pune Plant also coincided with HMIL’s milestone of achieving cumulative exports of 4 million passenger vehicles from India since 1999.
HMIL is cumulatively the largest exporter of passenger vehicles and the first automobile manufacturer to achieve the milestone of 4 million exports from India.
The company has also sold nearly 10 million passenger vehicles in the domestic market.
Euisun Chung, Executive Chair – HMG, said, “India remains one of Hyundai’s most important and strategic markets globally. The inauguration of the Pune plant reflects our long-term commitment to India’s growth and our confidence in its bright future.
HMIL’s milestone of 4 million cumulative vehicle exports demonstrates the global competitiveness of Indian manufacturing and highlights India’s growing role within Hyundai Motor Group’s worldwide operations.”
Hyundai Motor India Pune Plant to Manufacture New Hyundai VENUE
The Hyundai Motor India Pune Plant will exclusively manufacture the all-new Hyundai VENUE, which will also be exported to global markets. HMIL has plans to expand exports from the Pune facility to more than 35 countries.
The plant features future-ready production lines capable of supporting multiple internal combustion engine (ICE) and hybrid models.
These production systems are designed to provide manufacturing flexibility as the company expands its product portfolio.
The Hyundai Motor India Pune Plant also houses an advanced engine shop with manufacturing technologies capable of producing 150,000 engines annually to support vehicle production.
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