Hyundai Hits 92% Localisation: Creta EV to Feature Homegrown Battery!

Hyundai India Hits 92% Localisation: Creta EV to Feature Homegrown Battery Packs!

Hyundai Motor India Limited (HMIL) has reached a significant milestone in its journey toward self-reliance and sustainability by achieving 92% localisation in manufacturing at its Chennai plant. This achievement is a testament to Hyundai’s commitment to the ‘Atmanirbhar Bharat’ and ‘Make-in-India’ initiatives, as the company continues to strengthen its local supply chain and reduce dependency on imports.

In a major step forward, Hyundai has also started assembling battery packs locally in collaboration with Mobis India, with the Hyundai Creta Electric becoming the first vehicle to feature these homegrown battery packs.

Hyundai’s Localisation Drive: A Game-Changer for India

Hyundai’s localisation efforts have been instrumental in reducing costs, creating jobs, and boosting India’s manufacturing capabilities. The company has partnered with over 194 vendors to localise more than 1,238 parts, including advanced components like the Tyre Pressure Monitoring System (TPMS), panoramic sunroof, inflators, oil coolers, and NOX sensors.

Key Achievements in Localisation

1. 92% Localisation Milestone:
   • Hyundai has achieved 92% localisation in its manufacturing processes, significantly reducing its reliance on imported components.
2. Cost Savings:
   • Since 2019, Hyundai’s localisation efforts have saved the company approximately $672 million (₹5,678 crore) in foreign exchange.
3. Job Creation:
   • The localisation drive has created over 1,400 jobs, supporting India’s skilled workforce and boosting the local economy.
4. 100% Localisation for Key Components:
   • Hyundai has achieved complete localisation for critical parts such as:
     • Alternators
     • Alloy wheels
     • Disc brakes
     • Catalytic converters
     • Clutch assemblies
     • Shark fin antennas
     • Reverse Parking Assist Sensors (RPAS)

Battery Pack Assembly: A Milestone in Hyundai’s EV Roadmap

In collaboration with Mobis India, Hyundai has launched a battery pack assembly plant at its Chennai facility. This plant represents a significant step in Hyundai’s EV strategy, ensuring a steady supply of locally assembled batteries for its electric vehicles.

Key Features of the Battery Pack Assembly Plant

1. Phase 1 Capacity:
   • The plant has an annual capacity of 75,000 units, capable of assembling a variety of battery types.
2. Battery Types:
   • The facility can produce both NMC (Lithium-Nickel-Manganese-Cobalt Oxide) and LFP (Lithium-Iron-Phosphate) batteries, catering to diverse EV requirements.
3. Cost Reduction:
   • Localising battery production will help reduce costs, making Hyundai’s EVs more affordable for Indian consumers.
4. Streamlined Supply Chain:
   • The plant ensures a steady supply of batteries, supporting the growing demand for Hyundai’s electric vehicles in India.

Hyundai’s Vision for Atmanirbhar Bharat

Speaking about the company’s localisation efforts, Gopalakrishnan Chathapuram Sivaramakrishnan, Whole-time Director and Chief Manufacturing Officer at HMIL, said:

“HMIL’s indigenization efforts are deeply in sync with the Government of India’s ‘Atmanirbhar Bharat’ and ‘Make-in-India’ initiatives. Our localisation strategy strives to constantly leverage India’s rich resources, skilled workforce, and advanced engineering prowess to develop world-class technology domestically. The commissioning of the HMIL and Mobis India Limited’s battery-pack assembly plant is a key milestone in our localisation and EV roadmap.”

Hyundai’s Impact on India’s EV Ecosystem

Hyundai’s localisation and battery assembly initiatives are poised to have a transformative impact on India’s EV ecosystem.

1. Boosting EV Adoption

• By reducing costs and ensuring a steady supply of batteries, Hyundai is making electric vehicles more accessible to Indian consumers.

2. Supporting Sustainability

• Localising production reduces the carbon footprint associated with importing components, aligning with global sustainability goals.

3. Strengthening India’s Manufacturing Sector

• Hyundai’s partnerships with local vendors and suppliers are driving innovation and creating opportunities for India’s manufacturing sector.

Hyundai Creta Electric: The First Beneficiary

The Hyundai Creta Electric, set to launch soon, will be the first vehicle to feature the locally assembled battery packs. This move underscores Hyundai’s commitment to delivering high-quality, affordable EVs tailored to the Indian market.

A Step Toward a Sustainable Future

Hyundai’s 92% localisation milestone and the launch of its battery pack assembly plant mark a significant step forward in India’s journey toward self-reliance and sustainable mobility. By leveraging local resources, creating jobs, and reducing costs, Hyundai is not only strengthening its position in the Indian market but also contributing to the country’s vision of becoming a global manufacturing hub.

As Hyundai continues to innovate and expand its EV portfolio, it is set to play a pivotal role in shaping the future of electric mobility in India.