When you’re eyeing a Hyundai or Kia EV, the headline news means you’ll probably get more choices, shorter wait times, and a few dollars less on the price tag. Hyundai Group’s pledge of $15.5 billion will touch every part of the supply chain—from engineering labs to assembly lines to last‑mile charging networks.
The bulk of the spend—about $700 million—goes into a new R&D hub in Telangana. Spanning 675 acres in Zaheerabad, the campus will host a full‑scale test track, a pilot line, and prototyping bays. Engineers there will work on battery chemistry, autonomous‑drive components, and India‑specific safety features, tightening the link between global R&D and local production.
Manufacturing is getting the biggest lift. Currently, Hyundai and Kia’s plants in Chennai, Pune, and Anantapur can churn out 1.4 million vehicles a year. Hyundai is already bumping up Pune’s output in stages, and a third plant—potentially 500,000 units per year—might come online around 2030, with a capex that could top $2 billion. The extra capacity will help meet the projected 410,000 domestic sales that Kia is targeting by 2030, and it will allow Hyundai to scale up its EV line‑up faster.
Kia is also eyeing an extension at Anantapur: a new production line that could add roughly 200,000 units annually. The company is primed for a broader mix of hybrids and EVs, and the extra floor space will ease the rollout of its upcoming models, such as the EV6‑based compact SUV that has already taken a firm grip on export markets.
Beyond passenger cars, Hyundai is partnering with TVS Motor Company to launch electric three‑wheelers in late‑2027 to early‑2028. These vehicles aim to serve the last‑mile logistics segment, a market that could open new revenue streams for both firms and offer last‑mile operators a cheaper, zero‑emission alternative.
The investment programme kicks off in 2026, with the first R&D facilities coming online in 2027. A third plant is slated for 2030, and the full suite of new EV models is expected to debut between 2028 and 2029. Buyers should keep an eye on launch dates, price reductions, and battery‑range improvements that the new R&D centre will help deliver.