The South Korean carmaker will invest across factories, research, suppliers and mobility businesses between 2026 and 2032 as it seeks to expand production and exports from India.
Hyundai Motor Group will invest $15.5 billion in India from 2026 to 2032, as the South Korean carmaker deepens its bet on one of the world’s fastest-growing auto markets and seeks to strengthen its position as a regional export base. Euisun Chung, the group’s executive chair, disclosed the plan during a meeting with Narendra Modi in New Delhi on Monday, according to the company and Indian business reports.
The investment is expected to cover factory expansion, research and development infrastructure, local supplier development and new mobility businesses. Hyundai also plans to establish a dedicated investment entity in India to oversee the programme, a sign that the company intends to manage the spending as a long-term strategic commitment rather than a one-off expansion.
Chung said India is a key country for Hyundai’s future growth and for its expansion into emerging markets. The company said the plan is aimed at building out a wider automotive ecosystem in India, including parts localisation and technology development, while supporting production capacity for both the domestic market and exports.
Indian business daily Mint reported that the programme could also support jobs across manufacturing, engineering, research and supply chains. Business Standard said around $700 million may be directed towards Hyundai’s research and development centre in India. The investment also comes as Hyundai and its affiliate Kia look to reinforce manufacturing at their Indian operations.
Hyundai already has a sizeable footprint in the country. The group operates plants in Chennai, Pune and Anantapur, and sold more than 852,000 vehicles in India last year, giving it an 18.7% market share and second place in the market, according to figures cited in the report. Hyundai has said Pune has helped it reach annual production capacity of 1.4 million vehicles.
The move reflects the appeal of India’s expanding car market and its role as a lower-cost production base with access to export routes across emerging economies. The country has a population of about 1.47 billion, and the OECD and IMF both expect economic growth of about 7% this year. Passenger car sales are also rising quickly, with market forecasts pointing to growth from 4.57 million vehicles last year to 5.25 million this year.
The investment also fits with Modi’s industrial policy. Since taking office in 2014, he has promoted domestic manufacturing through the “Make in India” campaign, and has more recently cast India’s economic ambition under the “Viksit Bharat 2047” vision, which centres on industrial upgrading and stronger manufacturing competitiveness in global supply chains.
Chung and Modi have met eight times, according to the company, with previous discussions touching on Hyundai Motor India’s stock market listing, Modi’s visit to South Korea and wider talks on the future of mobility. Hyundai said it also plans to expand its social programmes in India, including the Samarth initiative for people with disabilities and a vocational school in Chennai known as HATS, which is expected to train about 13,000 people a year in automotive production, maintenance, smart factories, construction and industrial safety.
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