Hwashin Automotive India and Seoyon E-Hwa Summit Automotive India, suppliers to Hyundai and other original equipment manufacturers, have proposed fresh investments totalling ₹1,370 crore in Tamil Nadu over the next five years, covering research, technology upgrades, localisation and new business development.
The companies submitted their letters of intent to industries minister S Keerthana at the state secretariat on Wednesday. The proposals come amid social media speculation that projects intended for Tamil Nadu were shifting to Andhra Pradesh. The state government dismissed those reports as incorrect and cited the new investment commitments as evidence of continued investor confidence in the state.
Hwashin Automotive India has proposed an investment of ₹850 crore. The plan includes research and development, advanced manufacturing technologies, localisation, skill development and the development of new projects. Hwashin has operated in Tamil Nadu since 2002 and runs a facility at the SIPCOT Industrial Park in Irungattukottai.
Seoyon E-Hwa Summit Automotive India plans to invest ₹520 crore in technology development, modernisation and new business development projects. The South Korean auto component supplier operates in Kancheepuram and Chengalpattu districts and supplies Hyundai and other original equipment manufacturers.
The proposals extend an existing automotive manufacturing network around Chennai and the surrounding industrial districts. Hyundai Motor India manufactures cars and sports utility vehicles at Irungattukottai, where the company has previously committed to investing more than ₹26,000 crore in Tamil Nadu by 2032. That commitment forms part of Hyundai’s previously announced ₹45,000-crore investment programme in India.
Hyundai has also said it plans to raise localisation in its operations from the current 82% to 90% over the next five to six years. The company has separately indicated that procurement from suppliers based in Tamil Nadu will increase by about ₹4,000 crore.
The proposed investments by Hwashin and Seoyon are therefore linked to the wider expansion of local manufacturing capability around Hyundai’s production operations. Their stated focus on research, advanced manufacturing, technology development and localisation covers both production capacity and the capabilities required to supply vehicle manufacturers from within the state.
“Happy to share that Hwashin and Seoyon have reaffirmed their confidence in the state with fresh investment plans of Rs 1,370 crore over the next five years. We welcome competition. And we have no intention of slowing down. Tamil Nadu’s story is best told by those who choose to build here. We’ll keep the investments coming,” Keerthana said in a post on X.
The letters of intent mark proposed investments rather than completed spending. The supplied announcement does not specify individual project locations, construction schedules, employment numbers or commissioning dates for the new investments. The next implementation details will depend on the companies’ project development and technology modernisation plans over the five-year period.
