Hyundai plans to bring mass-market electric vehicle in India investing over $40 billion into innovation

South Korean carmaker Hyundai Motor India Limited (HMIL) is reportedly planning to launch a mass electric vehicle in the Indian market to further strengthen its product line and also its position as a smart mobility provider, said a top executive to ETAuto in an exclusive interaction.

Seon Seob Kim, MD & CEO, Hyundai Motor India, said: “Currently EV segment is kind of a nice segment. So, we don’t see any deep pulling demand in that area. However, if more mass-market products are introduced in the segment it will surely gain traction. So we are preparing and developing a mass-market electric vehicle for India.”

Kim emphasised that the research and development team of Hyundai India has already started working on the most suitable body types of electric vehicles for the Indian market, considering the needs of the customers.

Two people aware of the matter informed that Hyundai India would most likely bring a mass-market electric vehicle in the coming years.

As per the report, HMIL has planned an investment of over $40 billion into innovation, new models, and technologies for electrified and autonomous vehicles. By 2025, the company aims at releasing 44 electrified models, with sales projected to touch a total of 1.67 million marks annually. With this bulk launch, the Korean carmaker intends to be one of the world’s top three EV manufacturers by 2025.

HMIL had launched the electric SUV Kona in India in July 2019 and since then sold 453 units till September 2020.

Hyundai also intends to make its upcoming electric vehicles affordable and mass-centric. Hence, it is corresponding with many suppliers for their assistance in localising electric vehicle parts. For critical parts, such as batteries, the carmaker is talking to potential suppliers such as LG Chem.

Industry experts believe that to achieve electrification of passenger vehicles in India, both government and companies should work hand-in-hand to bring the right technology and solution best suited for the market. In India, the electric car market is yet to take flight. With less than half a dozen options available in the market, electric vehicle in India continues to struggles for basic charging infrastructure and adequate driving range. The market is currently cornered by Tata Nexon EV which contributes over 61.4 percent of total electric car sales in India, followed by MG eZS.