Hyundai Motor India Limited (HMIL) has announced a significant boost to its electric vehicle strategy in India by designating Tamil Nadu as its flagship EV hub. The move underscores the company’s deepening commitment to the state and the broader Indian electric mobility ecosystem. As part of this expansion, HMIL confirmed the launch of two new models from its established Chennai manufacturing facility, with one being the company’s first mass-market dedicated electric vehicle tailored for Indian customers.
The announcement was made following high-level discussions with the Tamil Nadu Government, reaffirming HMIL’s long-standing partnership as it marks three decades in India. The company plans to roll out both new models from its Sriperumbudur plant in Chennai within 2026, accelerating its EV roadmap and contributing to local manufacturing and employment. This development comes alongside substantial investments, with over ₹26,000 crore committed to Tamil Nadu between 2023 and 2032 as part of a larger ₹45,000 crore plan.
Central to the strategy is Hyundai’s first mass-market dedicated EV for India, expected to be a compact, affordable electric SUV. Internally codenamed HE1i and positioned in the sub-4 metre segment, the upcoming model is anticipated to compete directly with popular rivals such as the Tata Nexon EV and Mahindra XUV 3XO EV. It is likely to offer a practical range of over 300 km and benefit from high localisation levels, supporting affordability and supply chain resilience
In addition to the dedicated EV, a second new model will also be produced at the Chennai facility. HMIL has already set up Tamil Nadu’s first battery sub-assembly plant for EV powertrains and is actively localising power electronics and other critical components. These efforts align with a target of reaching 90% localisation in the coming years, strengthening the domestic EV ecosystem and positioning India as a potential export hub for the new electric model.
The initiative extends beyond manufacturing, with HMIL and the Tamil Nadu Government announcing a dedicated skill development collaboration. This programme aims to prepare the local workforce for future automotive technologies, with operations expected to begin in December 2027 and create thousands of new opportunities. Tarun Garg, Managing Director and CEO of HMIL, emphasised that the launches represent a key step in accelerating EV adoption while building a robust ecosystem.
By leveraging its Chennai facility and committing to Tamil Nadu as the core of its Indian EV operations, Hyundai is positioning itself strongly in the fast-growing electric vehicle market. The upcoming models, particularly the first mass-market dedicated EV, are expected to play a pivotal role in making electric mobility more accessible to Indian buyers and driving sustainable growth in the automotive sector.
