Hyundai Starts Engine Production at Talegaon Plant
Hyundai Motor India Ltd (HMIL) has officially commenced engine production at its Talegaon manufacturing facility in Maharashtra, marking a significant milestone in the company’s ₹6,000 crore investment plan to expand its footprint in the Indian automotive market. The engine assembly line went live on June 16, 2025, months ahead of the full-scale vehicle production scheduled to begin later this year.
This facility, spread across 300 acres in MIDC Phase II, Talegaon, was previously owned by General Motors and later acquired by Hyundai in 2023. Since then, the plant has undergone extensive upgrades to support modern automotive manufacturing and logistics capabilities. The plant’s installed capacity includes 130,000 vehicles and 160,000 engines annually, making it Hyundai’s second major production base in India after Chennai.
Hyundai Engine
The start of engine production not only signals Hyundai’s manufacturing readiness but also reflects the brand’s larger commitment to boosting localization, reducing import dependency, and strengthening its domestic supply chain. This strategic ramp-up aligns with Hyundai’s vision to make India a global export hub, especially for powertrain components.
Talegaon Facility
The Talegaon facility brings with it the legacy of a globally integrated manufacturing setup that had primarily served export markets before 2020. Hyundai’s revitalization of the plant includes modern engine lines, training centers, and integrated logistics units, setting the stage for scalable expansion. This plant will complement the company’s existing production capacity in Chennai, which already rolls out over 800,000 vehicles annually.
India Manufacturing
Hyundai plans to launch 26 new models, including six electric vehicles (EVs), by FY2030. With Talegaon integrated into its production ecosystem, Hyundai expects to surpass the one million annual vehicle mark by 2028, positioning India as a core pillar of its global operations. The company’s roadmap includes simultaneous focus on internal combustion engine (ICE) models and green mobility solutions.
Despite a marginal 4% decline in its Q4 FY25 consolidated net profit, Hyundai anticipates stronger performance in the coming quarters, aided by expanded production, new model introductions, and growing export demand.
