Chennai is widely known as the Detroit of Asia, and is the unquestioned center of India’s auto manufacturing. It is a southern metropolis that has carefully designed an ecosystem that not only produces a large share of vehicles in the country but also markets them to the rest of the world. The figures are self-explanatory: Tamil Nadu, with its heart at Chennai, is estimated to produce 35 percent of the auto components in India and is home to more than 40 percent of the total vehicle manufacturing business in the country. The car export of the state is always at the mark of approximately 6 billion dollars, which points to its international prominence.
With the year 2025 approaching, the region is also becoming more and more dominant, with multi-billion dollar investments, especially in the electric vehicle (EV) segment, and with the goal of having approximately 72 vehicles per 1000 people in the following years. Interestingly, alongside this industrial growth, IT companies in Chennai have also played a critical role by supporting the digital transformation of automobile manufacturing, supply chain management, and connected vehicle technology.
This article gives an in-depth insight into this automotive giant, with the listing of the top 10 automobile companies in Chennai that shape its landscape, the strong ancillary network that sustains it, and the strategic corridors through which this industrial muscle moves.
Why Chennai Is India’s Auto Hub
The rise of Chennai to the position of automobile capital of India is not by chance. It is an outcome of a deliberate policy of strategic site, aggressive governance and manufacturing culture. A number of distinctive factors make it the best:
- Port-Driven Export Powerhouse: The city is located near to key ports such as the Chennai Port and Kamarajar Port that is a major logistical strength. This enables easy importation of raw materials and components and more so, exportation of the final vehicles in the Southeast Asian, European, African and Latin American markets, thus a real global export hub.
- The Human Capital Engine: Chennai is endowed with a very skilled and disciplined labor force. The availability of superior technical colleges, such as IIT Madras and Anna University, as well as a number of polytechnics and industrial training colleges, guarantee a consistent supply of engineering expertise and skilled workforce, which is familiar with the complexities of the contemporary car production industry.
- Governance as a Growth Catalyst: The successive state governments in Tamil Nadu have introduced investor friendly policies, providing incentives, single window clearances and development of world class industrial parks. This uniform and friendly policy environment has helped in the attraction of huge investments by international auto giants and also the retention of huge investments.
- Ancillary Bedrock: An automobile is a complicated structure containing thousands of components. The real power of Chennai is the dense and very effective cluster of more than 1500 auto component manufacturers. This ecosystem delivers the required parts and services, large Tier-1 suppliers to smaller, specialized firms, with shorter lead times and a cooperative atmosphere of innovation and cost-effectiveness.
List of Top 10 Automobile Companies in Chennai
Here is the updated list of the top 10 automobile companies in Chennai:
1. Hyundai Motor India Ltd.
- Founder: Chung Ju-yung (Hyundai Motor Company)
- Founded In: 1996 (in India)
- Export & Market Presence: Hyundai being the largest exporter of passenger cars in India exports to more than 88 countries in Africa, Middle East, Latin America, Australia and Asia Pacific. It has always been the second biggest carmaker in the domestic Indian market.
Hyundai Motor India Limited (HMIL), which is a wholly-owned subsidiary of the South Korean based Hyundai Motor Company, has changed the face of the Indian auto industry. HMIL has been a synonym of modern design, feature rich and aggressive market strategy since the release of its first car, the legendary Santro in the year 1998. One of the first large international automakers to make India its second home, the company developed its fully integrated, creative manufacturing facility that created new industry benchmarks.
The success story is a testimony to how well it knows the Indian consumer with a wide range of products that include entry-level hatchbacks to high-end SUVs and electric cars. It is one of the best automobile companies in Chennai. The Chennai plant is an important component of the Hyundai global strategy as it acts as a center of national production as well as exports.
Manufacturing Facility at Chennai: A large and highly technological plant with more than 820,000 unit/annum capacity, situated in the industrial corridor of Sriperumbudur
Key Products:
- Hyundai Grand i10 Nios
- Hyundai i20
- Hyundai Aura
- Hyundai Venue
- Hyundai Creta
- Hyundai Alcazar
- Hyundai Verna
- Hyundai Tucson
- Hyundai Ioniq 5 (EV)
Employment / Impact: HMIL directly and indirectly employs thousands of people.
Website: www.hyundai.com/in
Address: Plot No. H-1, SIPCOT Industrial Park, Irrungattukottai, Sriperumbudur Taluk, Kanchipuram District, Tamil Nadu – 602117.
2. Renault Nissan Automotive India Private Limited (RNAIPL)
- Founder: Alliance of Renault S.A. and Nissan Motor Co., Ltd.
- Founded In: 2005
- Export & Market Presence: The Oragadam plant is a significant export centre of both Renault and Nissan, exporting cars to more than 100 countries in Europe, Middle East and Africa.
Renault-Nissan Alliance produced one of the largest foreign direct investments in the Indian automotive industry when it established a manufacturing facility in Chennai. RNAIPL is a joint venture that is an example of global cooperation where various cars of both brands are manufactured under the same roof. The factory is an epitome of production efficiency with a flexible assembly line that can produce various models to be sold both locally and abroad.
As one of the leading automobile companies in Chennai, the partnership has played a crucial role in launching new products in the Indian market including the Renault Kwid, which has upset the entry level segment, and the Nissan Magnite, which has transformed the compact SUV segment. The factory also accommodates the Renault Nissan Technology & Business Centre India (RNTBCI), a significant R&D and global engineering centre of the Alliance and this makes Chennai all the more significant.
Manufacturing Facility at Chennai: A huge complex in Oragadam with the capacity of 480,000 vehicles a year shared between Renault and Nissan.
Key Products:
- Renault Kwid
- Renault Triber
- Renault Kiger
- Nissan Magnite
Employment / Impact: The facility and its associated R&D center employ over 15,000 people.
Website: www.rntbci.in
Address: Plot No.1, Sipcot Industrial Estate, Oragadam, Mattur Post, Sriperumbudur Taluk, Kancheepuram District, Tamil Nadu – 602105.
3. Ashok Leyland Ltd.
- Founder: Raghunandan Saran
- Founded In: 1948 (as Ashok Motors)
- Export & Market Presence: Ashok Leyland is a leader in the medium and heavy commercial vehicle market in India and has a major export base in more than 50 countries especially in SAARC, Africa and Middle East.
The Hinduja Group flagship, Ashok Leyland is a real pioneer of the Indian commercial vehicle market. Based in Chennai, the company has been a lifesaver of the logistics and public transport in the country for more than 70 years. Whether it is tough trucks that can take you to all corners of the land or the familiar buses that you see in every city, the products of Ashok Leyland have been developed to be reliable and perform in even the harshest of situations. It is one of the best automobile companies in Chennai.
The initial manufacturing facility located in Ennore, Chennai is the mother plant of the company and has been the cradle of the company in its manufacturing endeavors. Ashok Leyland is also an innovator, and there is an increasing emphasis on electric mobility, so it also makes a variety of electric buses, which operate in several Indian cities, thereby making a significant contribution to the green transition in the country.
Manufacturing Facility at Chennai: The main manufacturing unit is situated in Ennore, Chennai and other key manufacturing units are in Southern India in Hosur.
Key Products:
- Trucks (Light, Medium, and Heavy Duty)
- Buses (City, Intercity, School)
- Defence Vehicles
- Power Solutions (Diesel Engines)
Employment / Impact: Ashok Leyland provides livelihoods to thousands and supports a vast network of suppliers and dealerships.
Website: www.ashokleyland.com
Address: No. 1, Sardar Patel Road, Guindy, Chennai, Tamil Nadu – 600032. (Corporate Office) / Ennore, Chennai, Tamil Nadu – 600057 (Plant).
4. Royal Enfield
- Founder: Albert Eadie and Robert Walker Smith (The Enfield Cycle Company, UK)
- Founded In: 1955 (in India)
- Export & Market Presence: Royal Enfield has a cult following around the world and exports to over 60 countries, has a solid and increasing presence in North America, Europe and Latin America.
Royal Enfield is the world’s oldest motorcycle brand that is still under production. It entered India in 1955, when it put together the Bullet 350 in collaboration with Madras Motors. It is a legend of Indian brands today and a subsidiary of Eicher Motors Limited. Royal Enfield has single handedly developed and controlled the mid-size motorcycle segment (250cc–750cc). The philosophy of the brand is to develop easy, genuine, and interesting riding experiences. Its motorcycles that are characterized by classic designs and thumps are timeless.
Among the most iconic automobile companies in Chennai, Royal Enfield’s manufacturing activities are deeply entrenched in the city, and it has three creative facilities in and around the area that supply the surging domestic and international demand. This is an example of a tremendous success of the Make in India initiative.
Manufacturing Facility at Chennai: The company has three state of art manufacturing facilities at Thiruvottiyur, Oragadam, and Vallam Vadagal which are on the outskirts of Chennai.
Key Products:
- Bullet 350
- Classic 350
- Hunter 350
- Meteor 350
- Himalayan
- Interceptor 650
- Continental GT 650
Employment / Impact: Royal Enfield’s growth has grown a vibrant sub-culture and an ecosystem of customization shops.
Website: www.royalenfield.com
Address: Thiruvottiyur High Rd, Tiruvottiyur, Chennai, Tamil Nadu – 600019 (Thiruvottiyur Plant).
5. Daimler India Commercial Vehicles Pvt. Ltd. (BharatBenz)
- Founder: A wholly-owned subsidiary of Daimler Truck AG
- Founded In: 2012 (Brand Launch)
- Export & Market Presence: In addition to supplying the Indian market with its BharatBenz brand, the Oragadam plant is also a major export centre of Daimler Truck, exporting trucks and buses to more than 60 markets in Asia, Africa, Latin America and the Middle East.
Daimler, largest producer of trucks globally, made a huge investment in the Indian market by setting up the Daimler India Commercial Vehicles (DICV) and introducing its exclusive Indian brand, BharatBenz. The state-of-the-art manufacturing plant of the company in Oragadam is an example of German engineering and Indian manufacturing capability. It is one of the best automobile companies in Chennai. The BharatBenz trucks and buses have been characterized by high levels of safety, reliability and fuel efficiency and this has threatened the established players in the Indian commercial vehicle market.
The plant is one of the most integrated Daimler plants in the world with research and development, a modern test track and manufacturing all located in one building. It manufactures not only the BharatBenz brand or other Daimler brands but export vehicles, which consolidates Chennai in the global map of commercial vehicles.
Manufacturing Facility at Chennai: A huge and state-of-the-art manufacturing unit covering an area of 400 acres in Oragadam.
Key Products:
- BharatBenz Heavy-Duty Trucks
- BharatBenz Medium-Duty Trucks
- BharatBenz School and Staff Buses
- Mercedes-Benz branded coaches
Employment / Impact: DICV has created a strong ecosystem of suppliers and has significantly invested in skill development.
Website: www.bharatbenz.com
Address: SIPCOT Industrial Growth Centre, Oragadam, Mathur Post, Sriperumbudur Taluk, Kancheepuram District, Tamil Nadu – 602105.
6. BMW India Pvt. Ltd.
- Founder: A subsidiary of the BMW Group
- Founded In: 2006 (in India)
- Export & Market Presence: Though the Chennai plant is mainly concentrated with the domestic luxury car business in India, the plant can be flexible to meet the export requirements in the region as and when they arise.
As the epitome of German luxury and performance, BMW was the first luxury car company to have a manufacturing facility in India in Chennai. This strategic positioning enabled BMW to sell its luxury cars at even low prices and meet the rising aspirations of the Indian consumers. It is one of the best automobile companies in Chennai. The Chennai plant is very versatile and can manufacture different types of BMW and MINI models.
It adheres to international quality and production practices of BMW Group and therefore, all the cars that come out of the factory are of the highest standards of the brand. Localization of production is an indication of BMW commitment to the Indian market, and its faith in the manufacturing capacity of Chennai in high-end cars.
Manufacturing Facility in Chennai: The plant is located in the Mahindra World City in New Chennai and is set up to locally manufacture various important BMW and MINI models.
Key Products:
- BMW 2 Series Gran Coupe
- BMW 3 Series
- BMW 5 Series
- BMW 7 Series
- BMW X1, X3, X5, X7
- MINI Countryman
Employment / Impact: Contributing to the high-value manufacturing sector in the region.
Website: www.bmw.in
Address: Mahindra World City, No. 4, 4th Avenue, Chengalpattu District, Tamil Nadu – 603004.
7. TVS Motor Company
- Founder: T. V. Sundram Iyengar
- Founded In: 1978
- Export & Market Presence: TVS Motor Company is ranked second in the list of exporting two-wheelers in India and has a dominating presence in more than 80 countries in Africa, Southeast Asia, Latin America, and the Middle East.
TVS Motor Company is a world-known company that produces two and three-wheelers and is an inseparable constituent of the 100-year-old TVS Group. The company is based in Chennai and has established a reputation of being innovative, of high quality and customer-centric. TVS has a long history of racing, and it is reflected in the production of performance bikes and technologically advanced products such as Apache series. It has a wide product line, with products that serve different segments such as mopeds and scooters, and high-end motorcycles.
It is one of the best automobile companies in Chennai. The company possesses a robust manufacturing facility in Southern India, with its flagship plant in Hosur, outside Chennai is a centre of production and research and development. TVS has also taken a big leap into the electric vehicle segment with the iQube electric scooter.
Manufacturing Facility in Chennai: The manufacturing and research and development headquarters of the company is in Hosur, Tamil Nadu.
Key Products:
- TVS Apache Series
- TVS Jupiter
- TVS NTORQ 125
- TVS Raider
- TVS Ronin
- TVS iQube (EV)
- TVS King (Three-wheeler)
Employment / Impact: TVS Motor is a major employer in the region and has a deep supply chain network.
Website: www.tvsmotor.com
Address: “Chaitanya”, No. 12, Khader Nawaz Khan Road, Nungambakkam, Chennai – 600006 (Corporate Office).
8. Caterpillar India Pvt. Ltd.
- Founder: A subsidiary of Caterpillar Inc.
- Founded In: 1971 (First production unit in India)
- Export & Market Presence: The Thiruvallur plant caters to the Indian construction and mining sector as well as sells its products to other countries within the Asia Pacific region.
Caterpillar, a world leader in the construction and mining equipment, has a manufacturing and R&D facility in Chennai. Its plant in Thiruvallur was the first production facility in India by the company and has been in operation since more than 50 years. This plant produces various types of heavy machinery needed in the development of infrastructure and includes off-highway trucks and backhoe loaders.
The Chennai plant is not only a manufacturing location but also a location of product development and engineering services, to serve the global requirements of Caterpillar. This points to the fact that Chennai can facilitate high-end engineering and design and not merely the assembly of vehicles. The presence of Caterpillar makes Chennai’s automotive industry in Chennai and heavy engineering business more diverse.
Manufacturing Facility in Chennai: A large manufacturing facility is at Thiruvallur with an engineering design center in the city.
Key Products:
- Off-Highway Trucks
- Hydraulic Excavators
- Backhoe Loaders
- Skid Steer Loaders
- Motor Graders
Employment / Impact: Caterpillar provides specialized employment in heavy engineering and design.
Website: www.caterpillar.com/en/india
Address: SH 50B, Mapped, Tiruvallur, Tamil Nadu – 602025.
9. Michelin Tyres India Pvt. Ltd.
- Founder: A subsidiary of the Michelin Group, France
- Founded In: 2009 (in India)
- Export & Market Presence: The Chennai plant supplies the Indian market, which has high demands of truck/bus radials, as well as exporting to various other markets across the globe because of its strategic location.
Michelin, a global leader in tyre manufacturing, invested thousands of crores by setting up the largest manufacturing unit in India at Chennai. The modern plant is focused mainly on the manufacture of truck and bus radial tyres, one of the segments, which is vital to the logistics backbone of the country. The plant is an embodiment of the green mobility and high tech manufacturing of the Michelin Company.
The plant has a heavy research and development component and this makes sure that the tyres manufactured are optimally adapted to the tough and varying road conditions in India. Michelin has also recently begun to manufacture passenger vehicle tyres at this plant expanding its range of locally produced products. Its existence has made the area a hotbed in tyre manufacturing.
Manufacturing Facility in Chennai: A huge manufacturing plant based in the SIPCOT Industrial Park, Thervoy Kandigai, outside Chennai.
Key Products:
- Radial Truck and Bus Tyres
- Passenger Vehicle Tyres
- Tyres for Defence and Industrial applications
Employment / Impact: The plant has generated substantial direct and indirect employment.
Website: www.michelin.in
Address: Plot no P1, Sipcot Industrial park, Thervoy Kandigai, Gummidipoondi Taluk, Tiruvallur District, Tamil Nadu – 601202.
10. Tractors and Farm Equipment Limited (TAFE)
- Founder: S. Anantharamakrishnan
- Founded In: 1960
- Export & Market Presence: TAFE is ranked as one of the largest volume producers of tractor manufacturers in the world and exports its products to more than 100 countries as Massey Ferguson, TAFE and Eicher.
TAFE, an Indian major in the tractor business and a key player in the farm mechanization sector based in Chennai, India. TAFE is an Amalgamations Group company with a long heritage of engineering excellence, and strong relationship with the Indian agricultural community. It has a long-term collaboration with AGCO Corporation and produces a large variety of tractors as Massey Ferguson tractors, as well as its own TAFE and Eicher tractors.
The products of TAFE have gained a reputation of being durable, efficient and easy to adapt to the various agro-climatic conditions of India and other countries. Its corporate head office and its major manufacturing hubs are located around Chennai, and as a result, the company has formed the backbone of the automobile manufacturing companies in Chennai and the engineering industry in the region.
Manufacturing Facility in Chennai: The TAFE head manufacturing division and corporate office is at Sembiam, Chennai with other plants in the area.
Key Products:
- Massey Ferguson Tractors
- TAFE Tractors
- Eicher Tractors
- Agricultural Implements and Farm Machinery
- Diesel Engines and Gensets
Employment / Impact: TAFE plays a crucial role in the agricultural economy by providing mechanization solutions.
Website: www.tafe.com
Address: 77, Nungambakkam High Road, Nungambakkam, Chennai, Tamil Nadu – 600034 (Corporate Office).
Key Automotive Component Companies
The OEMs do not represent the whole story. The strength of the ancillary industry is also attributed to the dominance of Chennai in the automotive industry. These are some of the five main component automobile companies in Chennai that are part and parcel of this ecosystem:
1. Brakes India Limited:
Brakes India is a subsidiary of TVS Group, and it is the largest manufacturer of brakes in the country. It offers full braking systems to passenger vehicles, commercial vehicles and tractors. The company is a pioneer in foundry and machining, which manufactures high quality castings, which play a key role in safety and performance. It does not only supply its products to practically all major OEMs in India but also exports them around the world, demonstrating its global manufacturing excellence.
Key Products: Foundation Brakes, Brake Actuation Systems, Brake Fluids, Ferrous Castings.
2. Sundram Fasteners Limited:
Sundram Fasteners is another jewel of TVS Group that is a major producer of cold extruded parts, powder metallurgy parts, high-tensile fasteners, and radiator caps. Its products are essential items in engines, transmissions and chassis. The company has gained fame due to its quality consciousness and has received many international awards among which are the preferred suppliers of the major automotive and industrial businesses in the world
Key Products: High-tensile fasteners, Powertrain components, Sintered metal parts, Radiator caps, Pumps & assemblies.
3. The Amalgamations Group:
The Amalgamations Group, based in Chennai, is one of the oldest and biggest light engineering conglomerates in India with a number of companies serving the automotive industry. It has a flagship company TAFE (tractors). Others are Simpson & Co. Ltd (diesel engines), India Pistons Ltd (pistons and rings) and Bimetal Bearings Ltd. This community constitutes a solid base of industrial and automotive history of Chennai, which provides essential engine parts.
Key Products: Diesel Engines, Pistons, Rings, Bearings, Gaskets.
4. Valeo India Private Limited:
The company is a subsidiary of the French multinational auto parts manufacturer Valeo and has a large operations in Chennai. It engineers and builds innovative automotive technologies, aiming at smart mobility and CO2 emission reduction. The Chennai facility of Valeo produces electrical systems such as starter motors and alternators, lighting systems, and wiper systems, to major OEMs, and the facility has also helped in the modernization of Indian-made cars.
Key Products: Starters, Alternators, Wiper Systems, Lighting Systems, Driving Assistance Systems.
5. Rane Group:
The Rane Group is an eight-plus decades old diversified auto component manufacturer, headquartered in Chennai. It includes a number of companies, each focusing on one particular segment, i.e., steering and suspension systems (Rane Madras Ltd.), brake linings (Rane Brake Lining Ltd.), engine valves (Rane Engine Valve Ltd.). Rane Group is a key supplier to nearly all vehicle makers in the country and is also reputed to be a leader in safety-critical parts.
Key Products: Steering & Suspension Linkages, Engine Valves, Brake Linings, Die-castings, Occupant Safety Systems.
Chennai Automotive Manufacturing Corridors
The automobile companies in Chennai are not dispersed randomly but are concentrated within specific corridors with each having its own distinct benefits.
- Oragadam – Sriperumbudur Corridor: This is the main and most active automotive corridor commonly known as the Automotive Corridor of South India. It hosts a high density of OEMs such as Hyundai, Renault-Nissan, Daimler and Royal Enfield among hundreds of component suppliers. Its strategic location, good connectivity, and the availability of NATRIP (National Automotive Testing and R&D Infrastructure Project) facility, makes it the most desirable site to invest in the automotive industry.
- Maraimalai Nagar & Thiruvallur: This automotive belt is among the older ones. It has the plant of Ford (undergoing conversion to export engines) and the plant of BMW at the Mahindra World City. Caterpillar is in Thiruvallur and Hindustan Motors is located there. This is a region with a developed industrial base and it still remains a major source of automotive production in the state.
- Gummidipoondi Cluster: another significant cluster, which is situated to the north of Chennai, is Gummidipoondi industrial cluster that is particularly relevant to component manufacturing and heavy engineering. The availability of the huge tyre plant of Michelin here has greatly enhanced its reputation. Its closeness to the Kattupalli and Ennore ports makes it suitable for export oriented units.
Conclusion
The story of Automobile companies in Chennai becoming the Detroit of Asia is an interesting one with regards to strategic planning, industrial strength, and skilled labour. It has a strong ecosystem, which includes international OEMs, a global base of ancillary, and an active governance that has formed a powerful automotive hub. With the industry riding the wave of electric and connected cars, Chennai is not only keeping itself on pace; it is in the frontline driving it. The future of the city as the automotive capital of India looks even more invulnerable with billions of new investments and an apparent vision of the future, the city will continue to lead India in automotive industries at present and beyond.
FAQs
What is the reason why Chennai is referred to as the Detroit of Asia?
Chennai has got this nickname because of the large numbers of large automobile manufacturing firms in that city.
What is the biggest car maker in Chennai?
Hyundai Motor India is the biggest car manufacturer in the Chennai region based on the volume of production and it can produce more than 820,000 cars per year at Sriperumbudur plant.
Does the Chennai automotive industry have any jobs?
Yes, the auto industry is one of the biggest industries to employ people in Chennai with a variety of opportunities available in the industry in the form of shop-floor technicians and engineers, R&D experts and management professionals with the new investments in EV technology.
Is Chennai good at producing electric vehicles (EV)?
Absolutely. Having favorable EV policy by the government, established manufacturing infrastructure, and huge investments by corporations such as Hyundai and Ola Electric, Chennai is fast becoming the leading electric vehicle manufacturing hub in India.
