News Other News

Hyundai aims to produce 1 million cars a year in India

Written by Kanad Kalasur

Hyundai Motor India Limited is celebrating its 27th year of operations in India. The Korean carmaker has been consistently ranked second after Maruti Suzuki in terms of total cars sold. Now, the company has revealed an ambitious target of manufacturing 1 million cars every year in India. To this end, Hyundai has now signed an Asset Purchase Agreement (APA) for the acquisition and assignment of select assets of General Motors India’s Talegaon Plant.

Hyundai’s presence in India

Hyundai reported sales of 552,511 units last year. This means a market share of 14.5 percent. In the current year, the company has sold 346,711 units already. Now, Hyundai wants to increase its production volume.

Hyundai has already enhanced its annual capacity to 820,000 units from the earlier 750,000. With the General Motors’ Talegaon plant, it will add another 130,000 per year. Post this, Hyundai wants to increase this to 1 million units a year.

With this additional capacity, Hyundai plans to launch even more electric vehicles in the Indian market. These will be made at the Sriperumbudur plant.

The investment in the state of Maharashtra aligns with the company’s goal of making a significant contribution to the overall economic growth of India.

Potential of Indian market

With a population of 1.4 billion as of 2023, India is set to become one of the top three car markets globally. Furthermore, by 2030, over 30 percent of total car sales will be electric vehicles.

Hyundai’s sales data for July 2023 indicates growth both in domestic sales and exports. The domestic sales figure stood at 50,701 units, marking a 0.40 per cent YoY increase from July 2022’s 50,500 units. Month-on-month sales also grew by 1.40 per cent compared to June 2023’s 50,001 units. Notably, Hyundai also witnessed even greater growth in exports, shipping 16,000 units in July 2023, a substantial 19.84 per cent YoY increase from June 2022’s 13,351 units. Thus reflecting a remarkable uptick of 2,649 units. Consequently, Hyundai’s total sales, combining domestic and exports, stood at 66,701 units in July 2023, indicating a 4.46 per cent growth from July 2022’s 63,851 units. This signifies a volume increase of 2,850 units.

Also Read – Hyundai sold 66,701 cars in July 2023.