Hyundai Motor India shares climbed 2.4% to Rs 2,011 in early trading on Wednesday after its South Korean parent, Hyundai Motor Group, announced plans to invest $15.5 billion in India between 2026 and 2032.
The stock emerged among the leading Nifty 100 gainers, extending Tuesday's 1.2% increase. Despite the recovery, Hyundai Motor India shares have declined 13.7% in 2026, compared with a 13% fall in the Nifty 50.
The company's market capitalisation stood at approximately Rs 1.62 lakh crore.
Company Announces $15.5 Billion Investment Plan
Hyundai Motor Group unveiled the seven-year investment programme on Tuesday to strengthen manufacturing, research and technological capabilities in India.
The announcement followed a meeting between Hyundai Motor Group Executive Chair Euisun Chung and Prime Minister Narendra Modi in New Delhi.
The investment includes approximately $700 million for the group's Indian research and development centre.
Additional funds will support manufacturing expansion, a vehicle testing track and the establishment of a dedicated investment entity.
The programme covers the group's wider Indian operations, including Hyundai Motor India and Kia India, rather than the listed Hyundai subsidiary alone.
It follows an earlier $5 billion investment commitment announced last year.
The group expects the latest initiative to support production growth and strengthen India's role as an automotive export hub.
Hyundai, Kia To Expand Manufacturing And EV Infra
Hyundai Motor Group currently has annual production capacity exceeding 1.4 million vehicles across its Indian facilities.
Hyundai's Chennai plants account for 824,000 units, while its Pune facility has capacity for 170,000 vehicles annually. Kia's Anantapur manufacturing plant contributes another 431,000 units.
The group plans to increase capacity at Pune in phases to accommodate future demand. Beyond vehicle production, Hyundai intends to strengthen domestic supplier networks, increase component localisation and improve supply chain resilience.
The investment strategy also includes exploring electric vehicle (EV) charging infrastructure, automotive financing, vehicle recycling and emerging mobility services.
Meanwhile, broader equity markets traded largely flat during Wednesday's opening session. The investment announcement highlights Hyundai Motor Group's plans to expand its long-term manufacturing and technology presence in India.
