Hyderabad: South Korea’s global automotive major Hyundai Motor Company is set to launch operations at the National Investment and Manufacturing Zone (NIMZ) in Zaheerabad, Sangareddy district, in the last week of June. A high-level Hyundai delegation from Seoul will meet Chief Minister A. Revanth Reddy in Hyderabad on June 21 to finalise the company’s expansion plans and formally announce the operational schedule.
The development follows the state cabinet sub-committee on industrial and investment promotion approving Hyundai’s ambitious proposal on May 25 to establish a Global Innovation Research and Development Centre in Telangana. The facility, spread across 675 acres, involves a massive investment of Rs 8,528 crore.
The state had initially allotted 400 acres to Hyundai in November 2024. With the latest expansion, another 275 acres have been allocated to support the upgraded plans. The upcoming centre will include advanced infrastructure such as a comprehensive automotive test track, a pilot production line and prototyping systems. The project is expected to create 4,276 direct jobs, giving a significant boost to the region’s economy and industrial ecosystem.
Hyundai’s renewed commitment stems from Chief Minister Revanth Reddy’s visit to South Korea in August 2024. During the visit, Hyundai announced an initial investment of `3,000 crore for a major vehicle testing facility. Continued engagement by the Chief Minister and the state government helped scale up the investment nearly threefold to `8,528 crore. The new facility will not only focus on automotive research but will also house a test cars manufacturing unit, including dedicated capabilities for electric vehicle (EV) development—aligning with Hyundai’s global transition to sustainable mobility.
Currently, Hyundai Motor India Ltd (HMIL) operates an R&D centre in Hyderabad through its subsidiary Hyundai Motor India Engineering Pvt Ltd. This facility spans 15 acres and closely coordinates with Hyundai’s global R&D headquarters in Namyang, South Korea. The upcoming Zaheerabad centre, led directly by Hyundai Motor Company, will serve as a major extension of HMIL’s existing operations in the state.
Hyundai has previously stated that its Hyderabad R&D unit is being developed as a global hub for compact passenger vehicle research. The new Zaheerabad facility will cement Telangana’s position as a key node in the company’s global innovation network.
India has become Hyundai’s third-largest market after North America and South Korea. The company is also positioning the country as its largest export hub outside South Korea, with 25 per cent of its upcoming 1-million-unit global capacity expansion to be based in India.
