(CTN News) – According to Maharashtra deputy chief minister Devendra Fadnavis, Hyundai Motor India, the country’s second largest automaker, will invest Rs 7,000 crore in the inactive General Motors plant near Pune.
The chief minister met with the managing director and chief executive officer of Motor India, Kim Unsoo, as well as the company’s executive director JW Ryu and other senior executives on Saturday.
“They informed me that Hyundai had invested Rs 7,000 crore in Pune’s Talegaon area.
As well, they requested advice and assistance on various aspects, and I assured them on behalf of our government that we would be fully supportive of their efforts to ensure a smooth implementation,” Fadnavis posted on the social media platform X.
They (Hyundai) will be visiting Davos later next week to sign a Memorandum of Understanding with the Maharashtra government. In addition, Fadnavis expressed his delight in Hyundai’s decision to create a modern automobile manufacturing facility in Maharashtra, which will be of world class.
Hyundai had signed an asset purchase agreement (APA) with GM earlier in August in order to acquire and assign certain assets related to the GM plant. Under the APA, land and buildings, as well as certain machinery and manufacturing equipment, can be acquired and assigned.
In order to complete the transfer of the GM plant, a settlement must be reached with its ex-employees, who have protested against the takeover.
Hyundai has announced that it will begin producing vehicles at the GM plant from 2025 onwards. The addition of this plant would bring total capacity in the country to one million units per year if it were to come under management.
According to data provided by the Society of Indian Automobile Manufacturers, Hyundai produced 586,610 cars and SUVs in Tamil Nadu during April-December during FY24, an increase of 10% year-over-year.