Hyundai eyes mass market for EVs, to develop new platform for India

Hyundai Motor is planning to develop a new electric vehicle (EV) platform for India to address the mass market. The company plans to invest around $200 million to develop the new platform.

"We are working on a (electric) platform, which will be for Indian mass market and it would cost around $200 million," said S S Kim, MD and CEO of Hyundai Motor India, adding that the product may be launched in the next 3-4 years.

The Korean automobile conglomerate recently launched an electric car named Kona in India. The car received around 120 bookings in 15 days, including 33 from Bangalore and 20 from Chennai.

With Kona catering to the high-end market, the company wants to introduce a EV product which will address the mass segment.

To do so, Kim says there is a need for more localisation. "Currently the localisation is too low since suppliers have not geared up, but as volume grows it will evolve," he said.

He, however, declined to reveal the price point the new product would target.

Early this year, Hyundai signed a MoU with Tamil Nadu to invest Rs 7,000 crore to develop new products and expand capacity through brownfield expansion in the state.

The company's plant in the state is said to be running at nearly full capacity, mostly due to growing SUV demand. The monthly production of SUVs has gone up from around 9000 to nearly 17000.

Kim is optimistic about the future of Hyundai and the Indian passenger car industry, which he said will be driven by rural demand for the next few years.

Hyundai Motor India Ltd.