Korea-based Hyundai WIA, which produces automotive parts, machine tools and heavy machinery, plans to set up two plants in India with a combined investment of $10 million (about Rs 45 crore), a top company official said today.
H S Lheem, President and CEO of Hyundai WIA, part of the Hyundai Motor Group, announced commencement of the company's first plant in India near Sriperumbudur in Tamil Nadu, in which it's injecting a investment of $4 million.
This plant would have a capacity to manufacture 600,000 units annually, and create 100 jobs for skilled personnel in one year, Lheem, who had earlier served as Managing Director of Hyundai Motor India for four years, told reporters.
"Although we have been providing our products to clients in India for the last four years, the setting up of this manufacturing unit will strengthen our position in the country", Lheem said.
"India is fast emerging as the global hub for the automotive industry and the new plant in Tamil Nadu will help in catering to the growing demands of this industry".
The company also plans to set up another plant, which would come up either in Tamil Nadu, close to the current facility, or in Andhra Pradesh, he said.
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Lheem said in India, the Hyundai WIA would focus initially on manufacture of automobile ancillary and fourth generation CV (constant velocity) joints and subsequently diversify into transmission, casting and forging.
He said the company has already supplied more than 2,000 machines in India in the last four years.
Hyundai WIA currently has four dealers in India, and this number would be scaled up to ten to cover major cities across the county, Lheem added.
In addition, the company plans to open a technical centre each in Chennai and Delhi.
Hyundai WIA is in discussions with General Motors India to supply transmissions, Lheem said.