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Telangana woos Hyundai for car plant, seeks to fast-track ₹8,528 cr R&D | Company News

Days after Hyundai Motor Group lined up a $15.5 billion investment in India from 2026 through 2032, Telangana Chief Minister A Revanth Reddy has wooed the global major, pitching Hyderabad as an ideal location for the group to establish a car manufacturing unit.

 

The chief minister said the government was ready to provide all possible support to encourage manufacturing in Telangana. “We are centrally located in the country, and Hyderabad is known for being cosmopolitan, safest and having the most liveable conditions among the six metropolitan Indian cities.”

 

He also assured the Hyundai Motor India leadership of all possible support for expediting work on the Hyundai Motor India Engineering (HMIE) integrated global research and development facility at the National Investment and Manufacturing Zone (NIMZ) in Zaheerabad. The facility, involving a massive investment of Rs 8,528 crore and a total employment commitment of 4,276 jobs, is set for phased development across 678 acres.

  

The group’s investment will be made through companies such as Hyundai Motor India, Kia India and other group entities. The seven-year investment spans manufacturing expansion, research and development (R&D) infrastructure development, local supplier cultivation for parts localisation and future technology innovation — fostering a comprehensive automotive industry ecosystem in India.

 

At present, Hyundai Motor India has manufacturing units in Chennai and Pune, while Kia India operates a manufacturing facility in Anantapur, Andhra Pradesh.

 

A delegation from Hyundai Motor India Engineering (HMIE), led by Managing Director Changyeon Cho, met the chief minister at the Bodhi Pavilion on Friday. On this occasion, the CM pitched Telangana as the ideal place to establish car manufacturing, with dedicated mobility clusters, strong transport infrastructure across road, air and rail, and future plans for high-speed connectivity with ports. He highlighted that the state was set for rapid industrial expansion under spatial frameworks such as the Peri-Urban Region (PURE) for manufacturing.

 

The team apprised the CM of the project’s progress, stating that the facility would be ready for groundbreaking in the next few months. HMIE’s presence in Hyderabad dates back 20 years, with the Hitec City facility serving as a major R&D centre supporting advanced vehicle engineering. Expanding on Hyundai India’s engineering capacities in Hyderabad, the Zaheerabad R&D and mega test centre will be key to testing, validating and improving engineering processes.

 

During the World Economic Forum 2024, a delegation led by Reddy met officials of Hyundai Motor to attract investments to Telangana. Subsequently, in June 2025, the Telangana Cabinet sub-committee on industrial and investment promotion approved Hyundai’s ambitious proposal to establish the R&D centre.

 

Explaining the government’s vision to build a massive, world-class satellite city called Bharat Future City, the chief minister extended an invitation to the Hyundai leadership for the Invest Telangana Global Summit 2026.

 

Cho said Hyundai’s vision to further strengthen Hyderabad as its global tech and advanced engineering hub complements the Telangana Rising 2047 vision. “We will continue the Telangana growth story,” he added.

 

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