A fire broke out in the scrap yard at the Hyundai Mobis factory at the Sriperumbudur area, in Kanchipuram on May 31. Sources said the disruption was largely limited to Chennai Plant 1, where Hyundai manufactures SUVs (file photo) | Photo Credit: ANI

Production at Hyundai Motor India’s Chennai Plant 1 in Sriperumbudur, which was affected by a fire at key supplier Mobis India Ltd on May 31, is expected to regain pace by June 15, with all operations returning to normal by June 22, the company said in a stock exchange filing on Wednesday.

The disruption was largely limited to Chennai Plant 1, where Hyundai manufactures sport utility vehicles (SUVs), said sources.

Operations at Chennai Plant 2, which produces hatchbacks and sedans, as well as the company’s Pune facility, have remained largely unaffected, according to the company.

Hyundai said it has initiated multiple measures to minimise the impact of the disruption, including sourcing automotive components from alternate locations to restore production levels.

The automaker had earlier informed stock exchanges on June 1 that a fire at Mobis India, a major supplier of automotive components, had caused a temporary disruption to its manufacturing operations. The company is still assessing the extent of the impact but expects any production loss resulting from the incident to be largely recovered within the next quarter.

Hyundai also maintained that retail sales in June 2026 are unlikely to be significantly affected as it has adequate inventory available across its dealer network.

Sources said Mobis supplies audio systems and certain other components used in Hyundai vehicles. The extent of damage at the supplier’s facility is still being assessed.

According to sources familiar with the incident, the fire is suspected to have originated in the soldering line within the assembly section before spreading rapidly through the plant. Investigations into the exact cause are underway.

Published on June 10, 2026