India’s growing automotive market is attracting major investments from global manufacturers, with Hyundai Motor Group planning a $15.5 billion investment through 2032 to strengthen the country’s role in its future growth strategy.
The South Korean automaker’s 7-year plan covers manufacturing expansion, research and development, and the creation of a dedicated investment entity. Around $700 million is earmarked for Hyundai’s Indian research and development centre.
The investment comes as global automakers look to benefit from rising demand in India, the world’s 3rd-largest car market, while increasing local manufacturing capacity.
Hyundai had announced plans last year to invest $5 billion in expanding its manufacturing and research operations in India. Suzuki Motor, the majority owner of India’s largest carmaker by volume, Maruti Suzuki, also outlined plans in 2025 to invest around $8 billion in the country. Toyota and Honda have also committed to expanding their manufacturing operations in India.
Manufacturing and technology expansion
Hyundai Motor Group, which employs more than 24,000 people in India, expects the investment to create additional jobs across manufacturing, research, engineering and supply chains. However, it has not disclosed the expected number of new jobs.
The investment plan, covering 2026 to 2032, will expand production capacity at Hyundai Motor India and Kia India to support significant growth in vehicle volumes. It also includes a vehicle testing track to support the development of next-generation automotive technologies.
The announcement followed a meeting between Hyundai Motor Group Executive Chair Euisun Chung and Indian Prime Minister Narendra Modi in New Delhi on Tuesday.
Hyundai Motor Group currently has an annual production capacity of more than 1.4 million vehicles in India. This includes 824,000 units at Hyundai’s Chennai facilities, 170,000 units at its Pune plant and 431,000 units at Kia’s Anantapur facility.
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