Hyundai Motor Group and Nvidia are deepening their collaboration to accelerate innovation in autonomous vehicles (AVs), smart factories and robotics with a new AI factory, powered by Nvidia Blackwell AI infrastructure. This partnership shifts focus from strategic software adoption to the co-development of core physical AI technologies.

The two companies plan to enable integrated AI model training, validation and deployment using 50,000 Nvidia Blackwell GPUs. In support of the Korean government’s initiative to build a national physical AI cluster, the collaboration involves an approximately USD 3 billion investment to advance the physical AI landscape in Korea. Key efforts include establishing Hyundai Motor Group’s Physical AI Application Center, the Nvidia AI Technology Center and physical AI data centres in the region.

A Memorandum of Understanding was signed on 31^st October between the Ministry of Science and ICT of the Republic of Korea, Hyundai Motor Group and Nvidia to formalise this collaboration.

Bae Kyung-hoon, Deputy Prime Minister and Minister of Science and ICT of the Republic of Korea, said, "For Korea to leap forward as a leading nation in AI, the advancement of physical AI is essential – a key initiative championed by the Ministry of Science and ICT. This inaugural step in public-private collaboration to foster physical AI is therefore incredibly significant. Korea has a strong foundation in manufacturing. By combining Korea's rich manufacturing data with Nvidia’s cutting-edge AI infrastructure, we expect to build a Win-Win model through collaboration with domestic companies, thereby accelerating innovative AI transformation (AX) in manufacturing across industries."

Euisun Chung, Executive Chair, Hyundai Motor Group, said, “As we enter a new era of AI-powered mobility and smart factory, deepening our collaboration with Nvidia marks a pivotal step forward. Together, we are not only building advanced technologies but also laying the foundation for a robust AI ecosystem in Korea – one that fosters innovation, nurtures talent and positions us at the forefront of global AI leadership.”

Jensen Huang, Founder and CEO, Nvidia, said, "AI will revolutionise every facet of every industry. In transportation alone – from vehicle design and manufacturing to robotics and autonomous driving — Nvidia’s AI and computing platforms are transforming how the world moves. Together with Hyundai Motor Group — Korea’s industrial powerhouse and one of the world’s top mobility solutions providers— we’re building intelligent cars and factories that will shape the future of the multitrillion-dollar mobility industry."

Hyundai Motor Group will use the Nvidia Blackwell-based AI factory to deploy infrastructure that powers innovation across in-vehicle AI, autonomous driving, factory automation and robotics. The group is leveraging three Nvidia AI compute platforms:

• Nvidia DGX platform for large-scale AI model training.
• Nvidia Omniverse and Nvidia Cosmos for creating digital twins of manufacturing environments and testing AV software.
• Nvidia Drive AGX Thor as the AI compute for real-time intelligence in vehicles and robots.

The company will use the Omniverse Enterprise platform to develop factory digital twins to accelerate robot integration, optimise production and enable predictive maintenance. Inside vehicles, Nvidia DRIVE AGX Thor will provide compute power for advanced driver-assistance, next-generation safety features and in-vehicle AI experiences.

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SABIC (Saudi Basic Industries Corporation), one of the largest petrochemicals manufacturers globally, has signed a Memorandum of Understanding with CEER, Saudi Arabia's electric vehicle brand, to explore cooperation in applying SABIC's materials and solutions in the design, development and manufacture of electric vehicles.

The signing ceremony took place at SABIC's headquarters in Riyadh, with attendance from SABIC CEO Dr. Faisal M. Alfaqeer and CEER CEO James DeLuca.

The agreement establishes a framework for evaluating the use of SABIC materials in EV applications and jointly developing material and processing solutions. The collaboration also covers knowledge sharing on sustainability and technology, exploring strategic sourcing opportunities to build a local supply chain and identifying joint areas of cooperation.

Dr. Al-Faqeer, said, “The memorandum represents a strategic collaboration which leverages SABIC’s global expertise in advanced material solutions for the electric vehicle industry. Through this partnership, we aim to accelerate innovation, enhance local content and build an integrated national supply chain that enhances global competitiveness. This collaboration also reflects our shared commitment to contribute to Saudi Vision 2030 and the National Industrial Strategy, empowering national talent, and strengthening Saudi Arabia’s position as a regional hub for future industries and technologies.”

James DeLuca, said, “This strategic collaboration with SABIC marks a significant step in CEER's journey toward designing, engineering and manufacturing a world-class electric vehicle right here in the Kingdom of Saudi Arabia. In order to develop next-generation electric vehicles with leading safety and efficiency performance, we are partnering with global prominent companies that share our commitment to innovation. By integrating SABIC’s materials and deep technical expertise into our vehicles, we are building a robust and reliable local supply chain while enhancing CEER’s rule as a key player in the Kingdom’s transformation into sustainable advanced hub for mobility and technology, in alignment with the goals of Saudi Vision 2030.”

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TAFE Motors and Tractors has opened its DEUTZ engine production facility at its manufacturing plant in Alwar, Rajasthan. The facility was inaugurated by Colonel Rajyavardhan Singh Rathore, Minister for Industry & Commerce, Government of Rajasthan.

Under a licensing agreement with DEUTZ, TAFE Motors will manufacture 2.2-litre and 2.9-litre engines for domestic and international markets, targeting an annual production capacity of 35,000 engines and 50,000 sub-assemblies. The manufacturing setup incorporates Industry 4.0-enabled systems and digital connectivity.

Rajasthan’s Cabinet Minister, Rajyavardhan Singh Rathore, while addressing the gathering lauded TAFE's investment in the state, said, “TAFE’s new production facility at Alwar is a strong endorsement of Rajasthan's emergence as a preferred manufacturing destination and exemplifies the vision of 'Made in Rajasthan for the World' while contributing to the national goal of an Aatmanirbhar Bharat. I reaffirm the state's commitment to fostering a business-friendly ecosystem through progressive policies and ease of doing business. I also commend TAFE’s Chairman & Managing Director, Mallika Srinivasan for her visionary leadership and contributions to nation-building, and I appreciate the commitment of TAFE's workforce, supply chain partners, and next-generation leadership in driving innovation, skilling, and empowering India's farmers through world-class technology and manufacturing excellence”

Mallika Srinivasan, Chairman & Managing Director, TAFE, said, "Today marks a defining milestone in TAFE's growth journey. TAFE and the Amalgamations Group, together are one of India’s largest engine manufacturing ecosystems, with a production capacity projected to expand from 400,000 to 550,000 engines annually by 2030.”

She added, “Our partnership with DEUTZ, one of Europe's premier engine manufacturers and a pioneer in diesel engine technology brings together the precision of German engineering and the strength of India's manufacturing capabilities. This venture will also serve as a growth catalyst for the allied engineering industries in Rajasthan, further strengthening the state's position as a manufacturing hub. We extend our gratitude to the Government of Rajasthan for the continued support in enabling this landmark initiative."

Dr Lakshmi Venu, Vice Chairman, TAFE, said, " India's manufacturing sector is entering a new phase, driven by technology, operational excellence and globally benchmarked capabilities. The TAFE Motors - Deutz production facility reflects our commitment to and investments in, advanced manufacturing rigorous quality systems and continuous capability development that will enable us to respond to an evolving India and International market demand. With a 40 percent women workforce, the TAFE-DEUTZ production facility continues to advance gender diversity goals."

Sandeep Sinha, Chief Executive Officer, TAFE, said, " The TAFE-Deutz facility integrates high levels of automation across manufacturing, testing and logistics, along with vision systems, robotics and cobots for critical assembly functions and reaffirms our ability to manufacture world-class products at scale. We are creating a world-class platform that will deliver exceptional value to customers in India and across international markets. Further, the facility also incorporates a state-of-the art engine testing and an advanced quality laboratory with complete digital traceability to ensure global quality standards."

Dr. Sebastian Schulte, Chief Executive Officer, Deutz, said, “The inauguration of the new DEUTZ engine assembly line in Alwar marks an important milestone in our cooperation with TAFE. It reflects the commitment and strong collaboration of both teams in turning our shared vision into industrial reality.”

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Czech automaker Skoda Auto has produced its one millionth Karoq SUV - a Karoq 1.5 TSI 110 kW finished in Graphite Grey - from its Kvasiny plant.

Since its launch in 2017, the Karoq has been built at the Kvasiny facility, which also produces the Octavia and Kodiaq, and maintains an annual production capacity exceeding 300,000 vehicles. The successor model is scheduled to be unveiled by CY2028.

Andreas Dick, Responsible for Production and Logistics at Skoda Auto, said, “Since production began in 2017, the Skoda Karoq has become an established part of our portfolio and an especially important model for the Kvasiny plant. Reaching the one-million mark reflects the commitment and teamwork of many people over the years. I would like to thank all colleagues in Kvasiny for their dedication, as well as our social partner KOVO for our long-standing, constructive and trusted cooperation.”

The Karoq is sold in around 60 markets, with Germany, the Czech Republic and the United Kingdom serving as its primary markets. The model range includes petrol and diesel engines with power outputs ranging from 85 to 140 kW. As per the company, 73 percent of Karoq buyers select an automatic transmission, while 27 percent choose a manual transmission.

In 2025, the Kvasiny plant manufactured 301,500 vehicles, and production of the Octavia Combi was added to the site in May 2026.

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Zelio E-Mobility, an electric two-wheeler company, has opened its new manufacturing facility in Coimbatore, Tamil Nadu. The company invested up to INR 10 million in the site.

The new plant will support its expansion in South India is spread across 39,000 sqft and will be used for assembly, storage and logistics operations. The facility has an annual production capacity of 60,000 units, increasing the company's total manufacturing capacity to 240,000 units per annum.

Production is expected to start with 24,000–30,000 units annually before scaling to meet market demand. The plant currently employs 30 workers, with plans to add over 100 personnel.

Kunal Arya, Managing Director, Zelio E-Mobility, said, “The launch of our Coimbatore facility marks a major milestone in Zelio E-Mobility’s growth journey. South India represents one of the most promising electric mobility markets in the country, and this expansion strengthens our ability to serve customers, dealers, and partners with greater speed and efficiency. This facility will play a crucial role in supporting our next phase of growth, improving supply chain responsiveness, and reinforcing our commitment to accelerating EV adoption across India.”

For FY2026, Zelio E-Mobility reported its revenue grew 81.8 percent YoY to INR 3.13 billion in FY2025–26, with a revenue CAGR of 121 percent over the past four years.

The company maintains a network of over 400 dealers across 25 states and intends to increase this to over 550 dealerships by FY2027.

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