Hyundai India capacity is planned to rise to 1.14 million vehicles a year by 2030, from an installed 994,000 units, as the automaker expands its manufacturing base and targets growth in its home market.

Key Takeaways

  • Hyundai Motor India aims to source 92% of its Tier-1 components locally by 2032, up from approximately 83%.
  • The company’s two Chennai plants have a combined annual capacity of 824,000 vehicles.
  • A mass-market compact electric SUV is planned for launch later in the current financial year.

Hyundai India capacity and local sourcing plans

Managing Director and CEO Tarun Garg outlined the targets at the launch of the Bayon on October 26, 2026. The company’s two Chennai plants remain central to its domestic and export operations, he said.

At the Tier-1 supplier level, Hyundai Motor India currently sources approximately 83% of its components locally. Garg said the company has more than 1,200 localized components and a network of around 200 Indian supplier partners.

Hyundai Motor India has sold nearly 14 million vehicles from India, including 10 million domestically and 4 million through exports, Garg said.

Bayon joins the SUV lineup

The Bayon starts at an ex-showroom price of Rs 9.99 lakh and sits between the Venue compact SUV and the Creta mid-size SUV in Hyundai’s portfolio. The company is adding the model as it expands in the segment, where Creta sales have recently come under pressure.

Garg said the Bayon is one of two new nameplates planned for the current financial year. The second is a mass-market compact electric SUV.

Market growth and powertrain choices

Garg said India’s passenger vehicle market had grown from 370,000 units in 1998 to an estimated 5.25 million in 2026. Hyundai Motor India began operations with sales of 8,500 units in 1998.

The automaker plans to expand across SUV segments and offer a wider mix of CNG, electric and hybrid vehicles. Garg identified SUVs, CNG vehicles and electric vehicles as drivers of the industry’s next phase of growth.

Next milestone

The next planned product launch is the mass-market compact electric SUV, due later in the current financial year.

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