Hyundai: Hyundai to take over General Motors’ Talegaon plant: Eyes one million cumulative yearly production

Hyundai Motor India has signed an asset purchase agreement to acquire General Motors’ Talegaon plant in Maharashtra. The company, however, hasn’t declared the capital involved in the deal. The OEM plans to commence operations in this plant come 2025.

The company said that the Talegaon facility, at present, has an annual production capacity of 1,30,000 units. Upon acquisition, the South Korean manufacturer will expand the production capacity of this facility, thus, enabling its other plant in Sriperumbudur, Chennai, to manufacture more electric vehicles.
The acquisition will help Hyundai to expand its production capacity in India as it is eyeing a cumulative production capacity of 1 million units annually. It is worth mentioning that the company has recently expanded its production to 8,20,000 units from 7,50,000.

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General Motors had shut its operations on our shores back in 2017, citing a number of factors for its decision, including the high cost of manufacturing in India and the competitive market.
HMIL, on the other hand, has sold 3,46,711 vehicles this year as of last month, maintaining its position as the second-largest player in the competitive Indian market with a 14.6 percent share.
Earlier this year, HMIL signed a Memorandum of Understanding (MoU) to invest Rs 20,000 crore in Tamil Nadu for expanding production capacity and establishing an electric vehicle ecosystem.
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