The City of Chennai, a 385-year-old sprawling megacity and the capital city of the Indian state of Tamil Nadu, celebrated its foundation day on the 22nd of August 2024. Established in 1639 as “Madras”, this bustling metropolis is the world’s second oldest municipal corporation after London. Home to over 10 million residents, this city also marks its spot among India’s most populous and richest cities.

Although Chennai is a heavily industrialized city with diverse sectors including manufacturing and information technology, a major chunk of them belongs to the automotive sector which comprise of manufacturing units of cars, two-wheelers, heavy vehicles, rail coaches, tyres and other automotive components. Nicknamed the “Detroit of Asia”, very few are unfamiliar with Chennai’s long-standing legacy in the global automotive realm.

Chennai’s revered automotive legacy commenced in the year 1948 with the inception of the Ashok Leyland plant, which initially came into operation as an assembly unit for Austin cars. This event was duly followed by the remarkable establishment of the Integral Coach Factory (ICF) in 1955, the world’s largest rail coach manufacturer. In 1998, with the momentous institution of Hyundai’s inaugural manufacturing plant in India, Chennai proudly emerged as the automotive capital of India and Asia alike.
In addition to all that, the city is also a forerunner in various similar industries including that of automotive components and tyres. Hosting two major seaports, one minor seaport, an international airport and a colossal rail terminus, this city is one of the largest trading hubs of India. The city’s prominence is only set to skyrocket in the coming years with the announcement of a second international airport for the city, which is certain to come up right in the vicinity of Chennai’s bustling automotive corridor.

Dubbed “New Chennai”, the city’s 60 km-long expansive automotive corridor located outside Chennai’s primary city limits, accounts for the production of 21% of passenger cars, 35% of auto components and 33% of commercial vehicles in India. At the heart of this formidable zone lies Oragadam, an industrial suburb housing the renowned National Automotive Testing and R&D Infrastructure Project (NATRIP).

Hosting a wide range of manufacturing units from various manufacturers including the ones keenly emphasizing on emerging trends like EVs, Chennai proudly makes it to the list of the 10 most strategic automotive hubs in the world. Given below are some notable establishments in the city.
Hyundai
Strategically positioned in the premises of the renowned SIPCOT Industrial Park, the vast state-of-the-art manufacturing facility operated by Hyundai Motor India Limited (HMIL) is the largest of its kind in India. Established in 1998, this humongous facility produces diverse Hyundai models of varied segments which include hatchbacks like the Grand i10 NIOS, i20 and the i20 N Line, sedans like the Aura and Verna, SUVs like the Creta, Creta N Line, Exter, Venue, Venue N Line and the Alcazar and even EVs like the Ioniq 5.

Apart from handling manufacturing operations, this plant is also a pivotal overseas trading hub for Hyundai, exporting vehicles to various international markets including the Middle East, Africa and the SAARC countries like Sri Lanka, Nepal, Bangladesh and Bhutan. This makes the Hyundai manufacturing facility in Irungattukottai a prominent landmark for innovation and international strategy, which makes a significant impact on the automotive manufacturer’s global footprint.
BMW

Operational since 2007, The BMW Group’s manufacturing facility situated in the Mahindra World City was the first luxury automotive manufacturer to establish its presence in Chennai. This sophisticated facility produces a total of 11 BMW models, which include sedans like the 3 Series, 3 Series Gran Turismo, 5 Series, 6 Series Gran Turismo and the 7 Series, and SUVs like the X1, X3, X4, X5 and the X7.

Alongside the aforementioned BMW models, the Mini Countryman is also produced in this facility. Lauded for its cutting-edge technical prowess and stringent quality regulations, this remarkable facility stands a class apart from all the other automotive manufacturers present in this region. This makes Chennai a strategic landmark in the global supply chain of BMW as well as the global luxury automotive manufacturing sector, bestowing upon the city with its well-deserved global recognition.

The Renault-Nissan Alliance
Catering to both the domestic as well as the international markets, the enormous 600-acre manufacturing facility of the Renault-Nissan Alliance in Oragadam is another significant establishment in the city. Ever since its inception in 2010, the plant has produced a whopping 2.5 million cars and exported over 1.15 million of them to diverse international markets including the Middle East, SAARC countries, Sub-Saharan Africa, Latin America, Europe, South-East Asia, Australia and New Zealand.

Citroën
The French automotive manufacturer Citroën, which recently debuted in India, has been actively taking steps to firmly establish itself in the nation’s competitive automotive landscape. This mission kicked-off with the establishment of a state-of-the-art manufacturing plant in Tiruvallur, with the C5 Aircross SUV being the first Citroën to roll out of the facility. As the automotive manufacturer continues to expand its presence in India, the Citroën Chennai plant would be of immense strategic importance to the brand’s growth in the country, with future ambitions of exporting vehicles to international markets.

Ford
Situated in Maraimalai Nagar, Ford’s Chennai plant was once a thriving manufacturing facility that produced iconic SUVs like the Endeavour and the Ecosport, right until the brand recently ceased its operations in India. What makes this plant unique is the presence of a top-of-the-line Global Technology & Business Center, established within its premises at a cost of $ 200 million. This groundbreaking establishment made Chennai Ford’s second-largest employment centre globally after their Dearborn facility in the United States. With the automotive manufacturer strongly considering its comeback to the Indian market, hopes are sky-high among discerning enthusiasts who yearn for quality automotive elegance.

Mitsubishi
Presently defunct, this iconic plant situated in Tiruvallur was initially established on a collaboration with the classic Hindustan Motors. Boasting an undefeated legacy of Japanese automotive innovation, the Mitsubishi Chennai plant was once capable of producing 12,000 vehicles every year, which included cult-classics like the Pajero. With Mitsubishi officially announcing their return to India, enthusiasts are all eyes on the brand’s future in the Indian market.

Other Industries
Apart from well-received car manufacturers, renowned two-wheeler brands like Royal Enfield and Yamaha also have their manufacturing units in Chennai. In addition to that, the city also hosts heavy vehicle manufacturers like Daimler, Ashok Leyland and Bharat Benz. The rich manufacturing and innovational legacy of Chennai extends further towards superior auto component manufacturers as well. A notable example for this is a dedicated BMW engine manufacturing unit operated by Force Motors.

Further asserting Chennai’s authority in automotive innovation is its thriving R&D ecosystem. This is duly testified by the state-of-the-art Mahindra Research Valley, which is the largest R&D centre in Asia. Nestled across the iconic Mahindra World City, this cutting-edge facility seamlessly amalgamates Auto and Tractor production under a common roof. Additionally, a cutting-edge engineering office operated by the Fiat Chrysler Automobiles is an honorary mention.

Last but not the least, Chennai is also the largest tyre hub of India. The city is home to legendary vehicle tyre manufacturers like the Madras Rubber Factory (MRF Tyres- estd. 1946), Apollo Tyres, Bridgestone and Michelin. As a melting pot of numerous vital industries, the city of Chennai stands tall as an epitome of pioneer manufacturing and innovational prowess in the realm of automotive innovation, duly magnifying India’s image and ambitions on a global stage.




