Two South Korean auto companies to invest ₹1,370 crore in Tamil Nadu

Two leading South Korean automotive component manufacturing companies, Hwashin Automotive India Private Limited and Sion E-Hwa Summit Automotive India Private Limited, plan to jointly invest a significant amount of ₹1,370 crore in Tamil Nadu over the next five years. According to an official statement issued by the Tamil Nadu Industries Department, these companies have expressed their commitment to expanding their operations in the state. This announcement comes at a time when media reports had been circulating that these entities, which supply to companies like Hyundai and Kia, were considering shifting their proposed manufacturing investments from Tamil Nadu to Andhra Pradesh. However, dismissing these speculations, both companies officially reaffirmed their confidence in Tamil Nadu's industrial ecosystem on Wednesday.

According to a Businessline report, Hwashin Automotive, which is currently operating at SIPCOT Irungattukottai, will invest approximately ₹850 crore over the next five years. This fund will be used for research and development (R&D), advanced manufacturing technologies, localisation, and capacity expansion. Additionally, the company will focus on creating new business opportunities through this investment. On the other hand, Sion E-Hwa Summit Automotive India Private Limited has planned to invest ₹520 crore during 2027 to 2031. The main goal of this company will be the modernisation of its production units, technological progress, and development of new business sectors.

Reacting to this investment, Tamil Nadu Industries Minister S. Keerthana stated that the announcement made by these two companies is strong evidence that global manufacturers continue to place trust in Tamil Nadu.

Both Hwashin Automotive and Sion E-Hwa Summit are well-known South Korean automotive parts manufacturing companies. These companies primarily manufacture various parts and components necessary for the automobile industry. They serve as important suppliers for major automobile companies like Hyundai and Kia globally.