Hyundai Unit Adds Transmission, Seating Production in India

Hyundai Motor Co.’s Hyundai Transys unit will open a new factory this autumn in Andhra Pradesh, India, to build manual transmissions and seats for the carmaker’s Kia Motors plant nearby.

The 12.5 billion-rupee ($175 million) facility covers 900,000 sq ft and will have annual capacity to build 300,000 seats and 180,000 5- and 6-speed gearboxes. Hyundai is pursuing possible deals to supply some of the factory’s transmission output to Tata and Mahindra & Mahindra.

The new factory joins a Transys facility in Chennai that makes seats for Hyundai passenger cars produced in India.

The Hyundai affiliate currently provides manual and dual clutch transmissions to the Indian market. It also is pursuing deals to supply automatic transmissions from South Korea.

Transys operates 21 manufacturing sites worldwide and ships more than 6 million transmissions and 4.3 million seating systems globally.