Hyundai Motor India Appoints Tarun Garg as New CEO, Unveils $5 Billion Investment Plan

Hyundai Motor India (HYUN.NS) has named company insider Tarun Garg as its new Chief Executive Officer, making him the first Indian to head the automaker’s local operations. Alongside the leadership change, the company announced a $5 billion investment plan aimed at expanding its manufacturing and R&D capabilities in India.

Garg will succeed Unsoo Kim, who has led Hyundai Motor India since 2022. The company said late Tuesday that Kim will return to South Korea later this year to take on a strategic role at the parent firm, Hyundai Motor Company (005380.KS).

A Hyundai veteran since 1991, Kim oversaw the company’s landmark $3.3 billion IPO in 2024, the largest public offering ever in India.

The South Korean automaker, which entered the Indian market in 1996, is the country’s second-largest car manufacturer after Maruti Suzuki (MRTI.NS), with best-selling models such as the Creta, Venue, and i20.

The announcements come ahead of Hyundai Motor India’s first investor day since its stock market debut last year.

Shares of the company, which have gained about 32% since listing, are up 33% so far in 2025 and traded largely flat on Wednesday.

Garg, a former Maruti Suzuki executive who has been with Hyundai for six years, will officially take charge as Managing Director and CEO in January 2026, the company said.

Hyundai plans to invest ₹450 billion ($5.07 billion) by the fiscal year 2030 to boost production capacity and strengthen research and development. Around 60% of the investment will go toward R&D, with the remainder focused on product upgrades and capacity expansion.

The company also aims to achieve a double-digit core earnings margin of 11–14% between FY2026 and FY2030, and projects a compound annual growth rate (CAGR) of 7% in domestic sales over the next five years.

(Exchange rate: $1 = ₹88.27)