[Aditya]

South Korean carmaker, Hyundai is rumoured to be considering setting up a new manufacturing unit in India.

Hyundai has plans to enter segments of the car market where it has no presence - the carmaker recently announced that it was gearing up to launch a compact SUV and an MPV in the country. To produce these vehicles, the company will need more manufacturing capacity. While the Chennai plant produces 6.8 lakh vehicles annually and can be stretched to a little over 7 lakh units, it does not have much scope for expansion. As a result, Hyundai has limited its production for export markets in favour of the domestic market.

Hyundai is believed to be scouting around in many states, one of which is Gujarat, which is likely to be the venue for plants of other auto majors like Maruti, Honda and Ford. The company plans to launch up to three vehicles every year including variants and upgrades.

Source: Economic Times

[etrast75]

My bet would be gujarat.
I am absolutely amazed by hyundai's (koreans in general) ability to introduce new models at such a consistent rate and without much fanfare. Compare this to Tata which has been talking about Zest and Bolt for almost a year and still cannot get deliveries right or maruti which has been talking about ciaz for quite some time. This is something everyone needs to learn from the koreans.

[Aditya]

Hyundai is rumoured to be scouting for a location in the state of Rajastan for its new plant.

Link to Team-BHP News Article

[autobahnjpr]

Being from the state of Rajasthan, this news bring smile on my face. Honda cars is already operating a plant in Tapukara and Hero Motors recently inaugurated their new plant at Neemrana. Gurgaon is in close proximity to Neemrana and there is already a well developed component suppliers clusters. Being on NH8, transportation is not a problem and the location is about 2 hours from Delhi International Airport. With same party both in state and Center, decision making can be quicker.
Hope this turns into reality !

[RavenAvi]

Hyundai India has decided to invest a fresh amount of Rs.4,500 crores in setting up it's second plant in India, which will boost it's production capacity to over 1 million vehicles.

Hyundai has been facing a capacity crunch at its existing facility near Chennai, but is now "close" to finalizing a new premises which will house the new factory.

States lobbying with the Korean company include Gujarat, Rajasthan and Andhra Pradesh.

The lobbying has been hectic after Hyundai Motor Group's global chairman Chung Mong-koo said in May that the company is "reviewing" plans for a new factory in India. He had said this after meeting Prime Minister Narendra Modi at Seoul.

The company may be reluctant to expand around the existing location considering that it faced a lot of labour unrest there in the past.

"We are closely watching... India is a future market for the brand and we will expand here," company MD and CEO B S Seo told TOI. "To begin with, we may start with a capacity of 3-4 lakh units annually, but this will be scalable."

Hyundai will become the second car company in India to have over one million production capacity after Maruti Suzuki.

ET Auto

[RavenAvi]

With a firm eye on achieving at least 1 percent growth every year until 2020, Hyundai Motor India elaborated on their long-term strategy in the country by announcing plans to launch 2-3 new models every year.

This includes launches in new segments in the coming months such as an MPV and a small SUV, besides full model changes to existing cars such as the Verna and the Elantra.

Currently, the maker of various popular models like i20 and Creta, Hyundai has over 16 per cent market share in the overall passenger vehicle segment.

"In the last two years we have launched seven models. We plan to launch 2-3 new models, including full model changes, every year continuously till 2020," Hyundai Motor India MD & CEO BS Seo told PTI here.

The company is targeting one per cent increase in its market share every year for the next five years, he added.

As part of its long term strategy in the country, the company is also developing models like a multi purpose vehicle (MPV), a small SUV and full model changes for its sedans Elantra and Verna.

ET Auto

[Karthik Chandra]

Hyundai has always been proactive in terms of launching new products, facelifts and phasing out old ones. At the current market share scenario, Hyundai's position is pretty safe with the 3rd position holder doing about 45% of what Hyundai currently does. With an MPV and compact SUV, they would have the entire product range covering all body types and segments. This strategy of launching 2-3 products every year for the next 5 years only reiterates the commitment that Hyundai has for the Indian market. This correlates to the news that Hyundai is planning to start a 2nd plant.
All the best Hyundai

[CrAzY dRiVeR]

Originally Posted by Karthik Chandra

This strategy of launching 2-3 products every year for the next 5 years only reiterates the commitment that Hyundai has for the Indian market.

Commitment towards the Indian market!

As I'm still not over that feeling of being cheated by Hyundai after the Grand i10 crash results- I find this rather difficult to digest.

Once bitten (I have an Xcent too) twice shy. I'm not going for any other launch from Hyundai / not recommending one to others unless it's proven for safety.

[Karthik Chandra]

But there is no law governing the same at the moment. So it would be unfair to blame the manufacturers alone, law makers and consumers are to be blamed equally. As long as the alto and wagon r sell in the 20k range (no offense to owners as i too belong here) we cannot comment of the structural rigidity of any manufacturers.
BTW your point is vey much valid and I respect your views but going by how the industry operates lets not bring in crash test results unless we have a strict regulation.
If I sound offensive to readers, I beg your pardon.

[searacer932]

Originally Posted by CrAzY dRiVeR

Commitment towards the Indian market!

As I'm still not over that feeling of being cheated by Hyundai after the Grand i10 crash results- I find this rather difficult to digest.

Once bitten (I have an Xcent too) twice shy. I'm not going for any other launch from Hyundai / not recommending one to others unless it's proven for safety.

Hi Crazy Driver - It's no different from Maruthi as I see it. Swift also suffered the same fate but it's selling like hot cakes and I see lot of people on TBHP itself recommending Swift. In my opinion, both Hyundai and Maruthi are exactly in the same boat when it comes to Indian market.

[volkman10]

After the success of its 'SUV'- Creta, Hyundai is all set to enter the sub compact SUV market in India.

Design of this new model is already finalised and will be revealed to select dealers soon.

Powering this compact-SUV will be 1.4L petrol & diesel motors, but no automatic gearbox.

http://www.shifting-gears.com/2015/0...e-compact-suv/

[arunphilip]

My observations:

• Now this will truly put pressure on the EcoSport
• This will also explain the elevated pricing of the Creta, to allow this to slot in beneath it
• Will this replace the i20 Active, or will it co-exist alongside?

[amitayu]

Do they have some international offering which they can tweak for India, or will it be a new product designed for South East Asia, like the Brio platform?

[Karthik Chandra]

I don't think Hyundai has a sub 4 metre SUV in other markets that they can tweak and launch. This has to be an India specific development like how the Eon was developed considering the fact that the 4 metre rule is India specific.

[hybridpetrol]

Originally Posted by arunphilip

My observations:

• Now this will truly put pressure on the EcoSport
• This will also explain the elevated pricing of the Creta, to allow this to slot in beneath it
• Will this replace the i20 Active, or will it co-exist alongside?

Yes, it will indeed put pressure on Ecosport. Ecosport has now become a few years old, and the new model launches from the market leaders will only reduce the sales.
It should be priced in the similar price band of Ecosport, but definitely this sub-compact SUV's prices will not overlap with Creta. To reduce the premiumness, some features will not be added in the new sub-compact SUV and there is not AT box planned. Similarly 1.4L engines will only make way to this car, while Creta has 1.6L petrol and 1.6L Diesel also as options.
My opinion: i20 Active will co-exist. i20 Active is just a plastic cladded crossover, based on the Elite i20, which will only add volumes to the i20 sales. There will be a lot of takers for both Elite i20 and i20 Active, even after the new sub-compact SUV.