Key highlights
- Hyundai has started passenger vehicle engine production at its Talegaon plant, marking a major milestone in its expansion strategy.
- The facility has an annual capacity of 1.6 lakh engines, with full-scale vehicle production expected to begin in Q4 2025.
- Hyundai plans to invest INR 6,000 crore in Maharashtra, upgrading infrastructure and boosting local manufacturing.
Hyundai Motor India has officially begun engine production at its Talegaon facility, reinforcing its commitment to local manufacturing and expansion. The plant, acquired from General Motors in 2023, is now operational for passenger vehicle engine production, with full-scale vehicle assembly expected to follow in late 2025.
Production capacity and expansion plans
The Talegaon facility boasts an annual production capacity of 1.3 lakh vehicles and 1.6 lakh engines. Hyundai has earmarked INR 6,000 crore for infrastructure upgrades, ensuring modernized manufacturing capabilities.
Hyundai’s Chennai plant is also undergoing a INR 1,500 crore upgrade, further strengthening its domestic and export operations.
Strategic importance and market impact
Hyundai’s expansion in Talegaon aligns with its aggressive product strategy, which includes 26 new models by FY2030—20 ICE vehicles and six EVs. The company aims to compete more aggressively with Tata Motors and Mahindra & Mahindra, particularly in the SUV and EV segments.
Government collaboration and local investments
Hyundai signed an MoU with the Maharashtra government, committing to job creation and localization efforts. The Talegaon plant will feature:
- A project management office and training center.
- Advanced logistics distribution facilities.
- Upgraded manufacturing equipment for next-gen powertrains.
Our thoughts
The INR 6,000 crore investment proves that Hyundai is serious about strengthening its Indian footprint, and let’s be honest—1.6 lakh engines per year is no small feat.
The localization push is great news for job creation, but the real excitement lies in Hyundai’s upcoming models. If the company executes its strategy well, it could seriously challenge homegrown rivals.
Also read: MG Windsor sales surge, set to cross 30,000 units soon