Hyundai and Kia will work together to create 1.5 million cars in India by 2025

By 2025, Hyundai Motor India aims to increase its manufacturing capacity to one million vehicles. By 2025, Hyundai Motor Group and Kia India together will be able to build 1.5 million vehicles a year in India.

In India, Hyundai will commemorate its 30th anniversary in 2026. In order to boost consumer adoption and develop the infrastructure for charging, the Hyundai Motor Group will also increase the number of EVs in its lineup in India and establish an EV ecosystem. The business will also bolster its dominance in SUV sales.

By the latter part of 2025, Hyundai’s Pune facility will be up and running. GM sold the manufacturing plant to us last year. Hyundai Motor is modernizing the site with smart manufacturing systems and technology to establish a production center with the capacity to produce over 200,000 vehicles a year.

The Chennai mill can now produce 824,000 units due to an increase in manufacturing capacity. By 2025, Hyundai will be able to manufacture more than a million units when combined with the Pune facility.
After the first half of this year, Kia India will also be able to produce 431,000 vehicles annually. The Hyundai Motor Group as a whole will be able to build around 1.5 million cars a year in India.

Hyundai Motor Group intends to use its electrification strategy to further solidify its position as the market leader for EVs in India.

Hyundai intends to aggressively address the expansion of the Indian EV industry by introducing its first domestically built EV there early next year. By the end of 2024, Hyundai plans to begin mass producing its first electric SUV at its Chennai factory. By 2030, the business wants to increase the number of EV charging stations to 485 and introduce five additional EV models.

In 2025, Kia India will begin local production of its first EV vehicle, and as the EV market expands, other models will be introduced. Additionally, Kia intends to concentrate on developing EV charging infrastructure in India.

Hyundai and Kia have inked a Memorandum of Understanding (MoU) with Exide Energy to produce batteries locally for Indian EV cars. The business intends to localize EV battery manufacture in order to reduce the cost of EVs.
Hyundai Motor Group Executive Chair Euisun Chung revealed Hyundai India’s ambitions at a town hall meeting in Gurugram.

Executive Chair Chung said, “We will develop EVs tailored to the Indian market and expand EV infrastructure in the region,” while discussing the company’s electrification plan. In India, we’ll spearhead the next wave of mobility, contributing significantly to electrification, and we’ll keep enhancing Hyundai’s standing as a luxury brand.”

Hyundai made its market debut in India in 1996, and the firm has expanded greatly since then. The firm exceeded the five lakh unit sales barrier in 2004. By 2007, it had sold one million units, and by 2017, it had sold five million. By the end of 2023, it had sold a total of 8.24 million units.
Kia India expanded into a significant brand in the SUV market after making its debut in 2019 and now sells more than 2 lakh units a year. The Hyundai Motor Group hopes to increase its sales to 8.9 lakh units in 2024, or around 3.9% more than in 2023.