An AI-generated image depicts Hyundai Motor’s expansion in the Indian automobile market. Photo by Asia Today and translated by UPI
May 11 (Asia Today) — Hyundai Motor Company has surpassed 13.5 million cumulative vehicle sales in India, underscoring the company’s three-decade push to localize production and develop models tailored to Indian consumers.
According to the automaker on Sunday, Hyundai Motor India Ltd., established on May 6, 1996, has sold about 13.5 million vehicles cumulatively, including 9.6 million domestic sales and 3.9 million exports.
The Indian unit has also become a strategic export hub for markets in the Middle East, Africa and Latin America, shipping models such as the Verna and Grand i10 to about 150 countries, including Saudi Arabia, South Africa and Mexico.
Hyundai entered India in the 1990s after identifying the country as a high-growth market with low vehicle ownership despite its large population. The company built its first assembly plant in Chennai, in the southern state of Tamil Nadu, and began production in 1998.
Hyundai later expanded the site with engine and transmission facilities, creating the company’s first comprehensive overseas manufacturing base.
The first model produced in India was the Santro, a localized version of the Atos compact car sold in South Korea. Hyundai modified the vehicle to better fit local conditions, including adopting a “tall-boy” design with increased cabin height that proved popular among Sikh drivers who wear turbans.
The company further expanded production capacity by opening a second Chennai plant in 2007 to support growing domestic demand and exports.
Industry analysts said Hyundai’s momentum in India accelerated after the launch of the Creta SUV in 2015. The model helped expand demand for sport utility vehicles in a market previously dominated by sedans.
Hyundai’s India Technology and Engineering Center also adapted vehicles to local consumer preferences, increasing cabin space and ground clearance to accommodate large families and rough road conditions.
To strengthen competitiveness, Hyundai launched a localization initiative in 2013 to expand sourcing from Indian suppliers. The company worked with industry groups and formed joint ventures with global suppliers, eventually achieving an average local parts sourcing rate of 82%.
“Hyundai successfully localized its operations to the point where many consumers see it as an Indian company,” an industry official said.
India’s automobile market grew from about 370,000 vehicles in 1998, when Hyundai entered the market, to approximately 4.56 million vehicles in 2025, representing annual average growth of about 10%, the official added.
— Reported by Asia Today; translated by UPI
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Original Korean report: https://www.asiatoday.co.kr/kn/view.php?key=20260511010002552