Hyundai Motor India Limited (HMIL) will sign a Memorandum of Understanding (MoU) with the Tamil Nadu government in January 2019 for expanding its current production facility in the state. The Korean carmaker is planning to invest ₹ 7000 crore in India. The management of Hyundai Motor India, led by its Managing Director and CEO, Y K Koo, vice-president corporate affairs, B C Datta, assistant vice-president (Finance) N Ramesh called on Chief Minister K Palaniswami at the Secretariat and had a brief interaction.
Speaking to the Media, Datta informed that the chief minister had assured them that the government would conisder their request for providing them tax incentives for the expansion work. He said HMIL would sign a Memorandum of Understanding with the state government at the Global Investors Meet scheduled to be held in January 2019. “This Rs 7,000 crore project means increasing production capacity, new model launches and powertrains. We have the MoU signing in January with government,” said Datta.
As we had reported earlier, With the new investments, the production capacity (at the two manufacturing facilities in Sriperumbudur) would increase to eight lakh units anually from the present seven lakh units. Moreover, the expansion is also required for the new product offensive based on new technologies. “Next year, we will also be introducing a new electric vehicle”, he said.
Nearly 700 new jobs would be created at Hyundai India after the expansion. Hyundai, a wholly owned subsidiary of Hyundai Motor Company, Seoul, retails nine models across the country. The company also exports its vehicles to around 87 countries, inclduding Africa, the Middle East, Latin America, Australia and the Asia Pacific.