Hyundai maps out aggressive EV plans as India’s electric car shift gains momentum

The Indian automotive industry is witnessing a silent but assertive transformation towards electric mobility. And with this, the country’s second largest carmaker, Hyundai Motor India is aiming to become a key participant in this change, with very evident signs that electric cars are no longer an experimental gamble—they're turning into an everyday tactic.

Hyundai’s multi-pronged EV strategy

As per Hyundai, EV market penetration in the domestic passenger car segment, present at about 2.5 per cent, may see growth to around 12-13 per cent in the next five years. It reasons for this probable expansion on account of supportive policies and growing player participation from lead players like Tata Motors, Mahindra, and now even Maruti Suzuki.

The company believes that growing awareness and increasing infrastructure development combine to lead industry opinion to converge on EVs as the ultimate solution, as against the hybrid or alternative technology option previously polarising opinion, a report by PTI stated.

Hyundai’s EV roadmap

Hyundai intends to launch three new electric models and ramp-up the supporting structure in the next few years. The company has articulated plans to localise the manufacturing of key EV components including battery packs, electric drivetrains, and electronic components, which it considers vital for price competitiveness.

In addition to model launches, Hyundai also plans to install 600 fast-charging stations throughout the country by 2031. The company currently offers the premium Ioniq 5 as well as the newly introduced Creta Electric, which is tracking sales approximately around 1,000 units a month.

While EVs are becoming more popular, ICE SUVs are still Hyundai's primary sales vehicle. The Hyundai Creta was the top-selling passenger vehicle for March, with 18,059 sold, and the model has increased sales by 20 per cent year-on-year for FY24. Hyundai's overall SUV penetration is currently at 68.5 per cent, and this is expected to exceed 70 per cent in FY25.

Also watch: Hyundai Creta EV review | India’s best-selling SUV goes electric | Range, Battery, Price expectation

Market outlook and expansion plans

While the longer-term outlook is optimistic, Hyundai foresees low single-digit sales growth in the near term owing to ongoing uncertainty in market conditions. A more defined demand pattern is likely to emerge in the next quarter.

The company also established that manufacturing at its Pune-based Talegaon plant, which it purchased from General Motors, will most probably start in Q3 FY25, possibly expanding the manufacturing capacity as fresh models are launched.

Get insights into Upcoming Cars In India, Electric Vehicles, Upcoming Bikes in India and cutting-edge technology transforming the automotive landscape.