Hyundai Construction lines up Rs 7,000-mn investment for India

Hyderabad: Hyundai Construction Equipment India (HCEIPL), an arm of the South Korea-based Hyundai Heavy Industries, has lined up Rs 700-crore investments in India, with an eye on the fast growing construction equipment, electro and electric product markets in India.

The company, which set up a 50-acre manufacturing facility at Pune, with an investment of Rs 300 crore, says it sees huge opportunity in these segments.

“We have asked for 125 acres more from the Maharashtra Government for the expansion,” Mr K.Y. Kong, Director, said.

Mr Suvendu Moitra, Head of Marketing, said the Pune facility had a capacity of 10,000 units of excavators of different sizes.

A high-level team from the company, led by its Managing Director, Mr J.S. Kim, was here to launch its South Regional Office here.

Mr Kim said the company would launch the 20-tonne excavator by the month-end. “We will be rolling out the 11-tonne machine by 2009 and 8-tonne one in the following year,” he said.

The company plans to import other models from Korea.

“The South represents 37.5 per cent of all the demand for excavators, with Andhra Pradesh topping the list,” Mr Suvendu said, explaining the rationale behind opening the office here.

He put the total demand at 10,000 units (with an average price tag of Rs 75 lakh last year), which is likely to touch 14,000 units in 2008.