Hyundai India bets big on CNG cars, sees accelerated demand

  • Hyundai has registered significant growth in its sales of CNG cars in India over the last two years.
Hyundai Exter
Hyundai has registered significant growth in its sales of CNG cars in India over the last two years.
Hyundai Exter
Hyundai has registered significant growth in its sales of CNG cars in India over the last two years.

Hyundai Motor India is betting big on CNG cars amid rapidly evolving consumer preferences. The carmaker has been witnessing accelerated demand CNG powered cars. Hyundai currently has CNG variants of three of its cars in India, which are Grand i10 Nios, Aura and Exter. The South Korean auto giant has registered an increase in the contribution of CNG cars to its total domestic sales.

Hyundai's overall vehicle sales across different fuel options in the Indian market during the abovementioned period was 3.54 lakh units, PTI reported. In FY22, CNG cars contributed 9.1 per cent to Hyundai's total domestic sales, which surged to 11.4 per cent in FY24. Keeping the same momentum, the automaker has recorded a 12.8 per cent contribution of CNG cars in its total sales in India so far in the April-October period of this fiscal. The rising number of CNG refuelling stations, significantly lower running costs compared to petrol or diesel, sky-high retail prices of petrol and diesel, and wider choices of petrol-CNG bi-fuel powertrain propelled vehicles have been bolstering the demand for CNG cars in India.

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Speaking about the growth of demand and sales of CNG cars in India, Hyundai Motor India Limited (HMIL) Director and COO Tarun Garg said that at present, the country already has more than 7,000 CNG refilling stations and the aim is to have approximately 17,500 CNG refuelling stations by 2030, which will further fuel the CNG demand. Hyundai launched the Hy-CNG Duo technology in its cars like the Exter and Grand i10 Nios, which comprises a dual-cylinder system. "The introduction of Hy-CNG Duo is aimed to meet customer demands of providing ample space with high mileage and safety. This has helped us achieve the highest-ever CNG penetration of 14.9 per cent in October 2024. Company-fitted CNG system with three years warranty assures maximum assurance for customers," Garg added.

Hyundai's CNG fleet: A deep dive

In October this year, Hyundai India sold 8,261 units of CNG cars in the domestic market with CNG penetration in its compact car Grandi10 Nios at 17.4 per cent, 39.7 per cent for Exter and 90.6 per cent for compact sedan Aura. The carmaker said that it has witnessed the penetration of CNG models grow from 8.8 per cent in FY22 to 10.7 per cent in FY24 in the urban markets, and from 7.1 per cent in FY22 to 12.0 per cent in FY24 in rural markets across India. As of October FY25, Hyundai's urban penetration of CNG models stood at 12.3 per cent while it was at 14.6 per cent in the rural market.

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First Published Date: 17 Nov 2024, 13:01 PM IST
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