Chung Eui-sun, chairman of Hyundai Motor Group, visited three countries in a row in the new year: China, the United States, and India. He appears to have undertaken this hard push to check business areas spanning the present and the future—mobility, hydrogen, artificial intelligence (AI), and Robotics—firsthand and to cement Hyundai Motor Group's standing as a sustainable corporations.
According to Hyundai Motor Group on the 14th, Chairman Chung arrived in India on the 11th. From the 12th to the 13th, he visited business sites across India, including Hyundai Motor's Chennai plant, Kia's Anantapur plant, and Hyundai Motor's Pune plant, to flesh out growth strategies. Hyundai Motor Group currently ranks second in India with a market share of about 20%.
India, with a population of 1.4 billion, the largest in the world, is the most attractive market globally. Based on its massive population, it not only has a powerful domestic market, but its young demographic structure, with an average age in the late 20s, is expected to yield high growth potential. Thanks to manufacturing promotion policies such as the Indian government's "Make in India," the business environment is also favorable for global corporations.
Marking the 30th anniversary of its entry into India this year, Hyundai Motor Group plans to implement India-specific strategies. ▲ Build a 1.5 million-unit production system ▲ a product lineup strategy flexible to the market ▲ create an electrification ecosystem to solidify its status as a pivotal corporations.
In particular, completion of the Pune plant acquired from General Motors (GM) is essential for the 1.5 million-unit production system. Hyundai Motor has been producing the Venue, a small sport utility vehicle (SUV), there since the fourth quarter of last year, and plans to hold a completion ceremony in the first half of this year and begin full-scale production of new models such as the Seltos and the Sorento. It will start with Phase 1 capacity of 170,000 units and expand to 250,000 units by 2028. Once the Pune plant is completed, Hyundai Motor Group will secure total production capacity of 1.5 million units in India, including 824,000 units at the Chennai plant and 431,000 units at the Anantapur plant.
On the 12th, after receiving a business briefing from Hyundai Motor at the Chennai plant, Chairman Chung toured the Creta production line and the Hyundai Mobis BSA plant. Chung said, "Hyundai Motor has been able to grow thanks to the love of the Indian people over the past 30 years," and noted, "To be reborn as an Indian people's corporations, we must pursue a home-brand strategy that looks ahead another 30 years."
To that end, he emphasized that the company should maximize differentiated strengths such as vehicle quality and customer-oriented services, which are Hyundai Motor's fundamental competitiveness, and continue challenges and innovation by building an organizational culture that is not afraid to fail and tries again.
On the same day, Chairman Chung reviewed Kia's production and sales strategies at Kia's Anantapur plant. At the meeting, he said, "As Kia enters its eighth year in India, it should set ambitious goals in line with its significant growth potential and opportunities and ensure that it becomes the best for Indian customers in brand, product appeal, and quality in the Indian market," adding, "Without fearing failure, recover quickly even if you fail, and once goals are set, use a DNA that moves with agility to achieve steady growth and build a robust brand." On the 13th, he closely inspected the production quality of the new Venue at Hyundai Motor's Pune plant.
Since the start of the year, Chairman Chung has spent most of his time overseas. On the 5th, he visited China and, at the Korea-China Business Forum, met with Zeng Yuqin, chairman of CATL, the world's largest battery corporations, and Hou Qijun, chairman of Chinese energy corporations Sinopec, to exchange views on batteries and hydrogen. He then attended CES in Las Vegas, United States, on the 6th and met with industry leaders, including Nvidia CEO Jensen Huang, to explore innovation strategies in AI and Robotics.
A Hyundai Motor Group official said, "Chairman Chung's hard push in the new year is aimed at checking business areas spanning the present and the future—mobility, hydrogen, AI, and Robotics—in three countries that are massive economic blocs with strong global influence, and at solidifying Hyundai Motor Group's status as a customer-centered sustainable corporations," adding, "At this year's New Year's gathering, he urged the company to lead new standards for the industry and products through continuous structural improvements and strengthening ecosystem competitiveness, and emphasized that, as industries such as AI are undergoing major changes, there are even greater opportunities for growth—this is an extension of that."