Hyundai India Targets 1.14 Million Annual Production Capacity by 2030

New Delhi, October 27: Hyundai Motor India plans to raise its annual production capacity to 1.14 million vehicles by 2030 and increase component localisation to 92% by 2032 as it expands its manufacturing base and broadens its product range, according to a report published by The Economic Times on October 26.

The company currently has installed annual capacity of approximately 994,000 vehicles. Its two Chennai plants remain central to domestic production and exports, with a combined capacity of 824,000 units.

Local Sourcing to Increase

Hyundai said around 83% of its components are currently sourced locally at the Tier-1 supplier level, with more than 1,200 components localised and a network of approximately 200 Indian supplier partners.

The company’s goal of raising localisation to 92% by 2032 could strengthen its domestic supply chain and reduce exposure to some imported components. The eventual impact will depend on supplier capability, quality standards and cost competitiveness.

More SUVs and Multiple Powertrains Planned

Hyundai intends to expand its SUV range and offer more choices across petrol, CNG, electric and hybrid powertrains. The company also plans to introduce a mass-market compact electric SUV later in the current financial year.

The newly launched BAYON is positioned between the Venue and Creta in Hyundai’s Indian line-up. The company expects the new model, together with future launches, to support its presence in growing SUV segments.

India’s Role in Global Operations

Hyundai has sold nearly 14 million vehicles from India, including domestic sales and exports, according to the company. The planned capacity expansion indicates that India will remain an important manufacturing and export base.

Market Perspective

Higher production capacity can support shorter waiting periods and a wider model range, but the benefits depend on actual demand and how efficiently the new capacity is used. Local sourcing can also improve supply-chain resilience, although it does not automatically guarantee lower vehicle prices.

For consumers, the expansion could bring more powertrain options over time. Buyers should compare the purchase price, fuel or charging costs, service availability and warranty for the specific model they intend to buy.