Hyundai Motor India has initiated local assembly of its compact SUV Venue in Nepal through a collaboration with Laxmi Group. The move marks the establishment of Nepals first automotive assembly facility, with an annual capacity of 5,000 units. The partnership between Hyundai and Laxmi Group aims to bolster the regions economy by generating employment opportunities and increasing production capacity for Hyundai Motor Indias models worldwide. Currently, various Hyundai SUVs, including the Exter, Venue, Creta, Tucson, Santa Fe, and Palisade, are available in Nepal.Potential price impactThe Venue SUV, powered by a 1.2-litre, 4-cylinder petrol engine, is the first model to be locally assembled in Nepal. This move could potentially reduce prices in the region, as it may eliminate certain import taxes associated with completely built-up (CBU) units. However, official confirmation from the manufacturer is awaited.Expressing gratitude to Nepal Prime Minister Pushpa Kamal Dahal and the Government of Nepal for their support, Hyundai Motor India MD & CEO Unsoo Kim highlighted the importance of the Venue assembly in Nepal. Kim also expressed optimism for favorable policies and incentives from the government.He expressed anticipation for additional supportive policies and incentives from the Nepalese government to foster an environment conducive to local assembly. Hyundai has collaborated with the Nepal-based Laxmi Group for the establishment of the assembly plant.Collaboration for growthPartnering with Nepals Laxmi Group, Hyundai aims to manufacture and distribute vehicles in Nepal while benefiting from ongoing support in terms of products and technology from Hyundai Motor Company Korea and Hyundai Motor India.
