Business Standard

A labour hurdle to South Korean auto major Hyundai's expansion in India

Hyundai's aim to boost production by buying General Motors' Talegaon plant runs up against a two-year-old labour dispute

Hyundai Motor India Ltd, Hyundai
Premium

Hyundai

Deepak Patel New Delhi
With Tata Motors ramping up production and gaining ground towards becoming the second-largest car manufacturer in India, Hyundai India, which currently holds that position, is considering inorganic expansion to stay the course. Last week, the Korean automaker signed a term sheet with General Motors (GM), which had announced it would exit India in 2017, for a potential acquisition of its Talegaon plant in Maharashtra. However, legal battles initiated by 1,000-odd former employees of the Talegaon plant continue to present a challenge for the acquisition process.

GM told Business Standard that the former employees are not part of the deal with Hyundai.

Don't miss the most important news and views of the day. Get them on our Telegram channel

First Published: Mar 19 2023 | 5:39 PM IST

Explore News

To read the full story, subscribe to BS Premium now, at just Rs 249/ month.

Key stories on business-standard.com are available only to BS Premium subscribers.

Register to read more on Business-Standard.com