Key Highlights
• Hyundai Motor India expects all manufacturing operations to return to normal by June 22, 2026.
• The disruption was caused by a fire at a manufacturing facility operated by key supplier Mobis India in Tamil Nadu.
• Chennai Plant 1 was the most affected facility, while Chennai Plant 2 and Pune plant continued operations with minimal interruptions.
• Hyundai expects Chennai Plant 1 to resume regular production levels by June 15.
• The company is sourcing components from alternative suppliers to reduce production impact.
• Hyundai believes a significant portion of the temporary production loss can be recovered during the upcoming quarter.
• Vehicle deliveries and retail sales are expected to remain unaffected due to sufficient inventory across dealerships.
Chennai Plant 1 operations to normalize by June 15 as Hyundai secures alternate component supplies
Hyundai Motor India Ltd (HMIL) has announced that it expects all manufacturing operations across its facilities to be fully restored by June 22, 2026, following a fire incident at a plant operated by its key supplier, Mobis India Ltd.
The company informed stakeholders through a regulatory filing that it has implemented multiple contingency measures to minimize disruptions, including sourcing automotive components from alternate suppliers to ensure production continuity.
According to Hyundai, the impact of the incident has been largely concentrated at Chennai Plant 1, while Chennai Plant 2 and the company’s Pune manufacturing facility have continued operations with only limited interruptions.
The automaker stated that production at Chennai Plant 1 is expected to return to normal levels by June 15, with complete stabilization across all manufacturing facilities anticipated by June 22.
Hyundai said the fire temporarily affected the supply of certain critical components manufactured by Mobis India, a major supplier to the company. Despite the disruption, the company remains confident about mitigating the impact through alternative sourcing strategies and operational adjustments.
Management indicated that a substantial portion of the production shortfall resulting from the incident is likely to be recovered during the upcoming quarter, helping the company maintain its overall production targets for the financial year.
Importantly, Hyundai reassured customers and dealers that retail sales and vehicle deliveries are not expected to face any significant disruptions during June. The company cited adequate inventory levels across its nationwide dealership network, which should help meet customer demand while manufacturing operations gradually normalize.
The latest update follows Hyundai’s earlier disclosure regarding the fire that broke out on May 31, 2026, at a Mobis India manufacturing facility located in Irrungattukottai in Tamil Nadu’s Kancheepuram district. The incident temporarily impacted the supply chain for certain automotive components required for vehicle production.
Hyundai Motor India remains one of the country’s largest passenger vehicle manufacturers, with production facilities playing a critical role in serving both domestic and export markets. The company’s swift response, including alternative sourcing arrangements and inventory management, reflects the growing importance of supply chain resilience in the automotive sector.
Industry analysts note that Hyundai’s ability to maintain retail sales despite the temporary disruption highlights the effectiveness of its inventory planning and dealer network management. The company is expected to continue monitoring the situation closely while working with Mobis India to restore normal supply levels.
With Chennai Plant 1 expected to resume regular operations by mid-June and complete normalization targeted by June 22, Hyundai remains optimistic about sustaining production momentum and meeting customer demand in the coming months.
