Hyundai Motor Group’s CEO Euisun Chung visited India on Tuesday to review the Group’s mid-to-long-term future strategies, as the South Korean automaker is expanding in the country to increase production capacity and produce electric vehicles, while also planning to enter the capital market.

“The first overseas town hall meeting with the Executive Chair was also held with Hyundai Motor India employees. The purpose of the meeting was to share the Group’s vision and engage with colleagues ahead of new opportunities such as the establishment of an annual production system of one million units and promotion of the Group’s electrification strategy,” said a company statement.

The event, held on Tuesday, marked the first time that Executive Chair Chung held a town hall meeting outside of Korea.

Hyundai Motor India (HMIL), which is celebrating its 30th anniversary, will start operating its Pune plant in the second half of next year. This production facility was acquired from General Motors last year.

Hyundai Motor is currently upgrading the facility to create a production capacity of more than two lakh units annually.

With the addition of the Chennai plant’s production capacity of 8.24 lakh units, HMIL will have an annual production capacity of over one million units when combined with the Pune plant. Kia India’s yearly production capacity will also be expanded to 4.31 lakh units within the first half of this year. Combined together, Hyundai Motor Group will have the ability to produce about 1.5 million units annually in India.

HMIL’s annual production capacity is expected to reach one million units by 2025. Combined with Kia India, Hyundai Motor Group’s annual capacity will be at 1.5 million units.

The Group will expand its EV portfolio and create an EV ecosystem to accelerate customer uptake and expand charging infrastructure. It will also strengthen its SUV sales leadership.

“India is among the fastest-growing economies globally, and as this growth continues the strategic importance of Hyundai Motor India will only increase. By leveraging our strong reputation and competitive quality in India, we aim to expand exports to neighbouring countries, making India the global export hub to boost our regional market competitiveness,” Chung said in the statement.

HMIL is to unveil its first locally produced EV in India next year. Starting with the mass production of its first electric SUV model at the Chennai plant at the end of 2024, the company plans to further produce five EV models by 2030. Hyundai Motor India will also utilize its sales network hubs, expanding the number of EV charging stations to 485 by 2030.

“We will develop EVs tailored to the Indian market and expand EV infrastructure in the region. We will lead the next generation of mobility in India, playing a key role in electrification, and we will continue to elevate Hyundai as a premium brand,” he added.

In Q1 of 2024, Hyundai Motor Group brands recorded combined sales of 225,686 vehicles, up 1.5 per cent year over year. Hyundai Motor Group aims to achieve sales of around 890,000 units this year, a targeted 3.9 percent increase over the 2023 performance of around 857,000 units combined in India.

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