Tarun Garg, COO of Hyundai Motor India, and Unsoo Kim, Managing Director, in an interview with ET Now, highlighted Hyundai’s broader strategy for expansion and growth.
The Creta, one of Hyundai’s most successful models, received a facelift this year, reinforcing its market position. The launch was met with a highly positive response, further solidifying the Creta’s status in India’s competitive SUV segment. Along with this, Hyundai also introduced the Creta N Line and the Alcazar in recent months, adding to the growing premiumisation narrative in India.
The launch of the Creta EV marks Hyundai’s significant push into India’s growing electric vehicle (EV) market.
“In terms of EV, India is at the early stage of electrification. We are seeing that India’s EV is expected to grow strongly by 2030, led by the government’s strong initiatives and many OEM EV focuses. The HMI has strong access to the HMC’s EV and battery technology, so we are developing an EV ecosystem in India,” Kim said.
The Creta EV will be one of four new EV models Hyundai plans to introduce across mass and premium segments, further cementing its leadership in the evolving auto landscape.Kim also highlighted Hyundai’s strategic focus on building a localized EV ecosystem, including the development of supply chains for battery packs, drivetrains, and other critical components.
Hyundai’s IPO and Expansion
With its IPO on the horizon, Hyundai Motor India is poised for a new era of expansion. Garg emphasized that the timing is ideal, with India’s GDP growth consistently outperforming global averages and Hyundai’s Pune plant expansion adding significant capacity.
The new facility, which will increase production by 250,000 units, is a key part of Hyundai’s plan to strengthen its position in both domestic and export markets.
“In terms of Hyundai, if you see, now we are expanding with the Pune plant, the capacity addition of 250,000, so we believe this is just the right time for the next phase of Hyundai’s growth in India and like we said, probably IPO is really a very good stepping stone to that next phase.” Garg explained.
With a strong lineup that includes models like the Venue, Exter, and the soon-to-launch Creta EV, Hyundai’s SUV portfolio contributes a substantial 68% of its sales, well above the industry average.
“We believe in quality of growth,” Garg noted, adding, “…Growing along with in volume, in profits as well, so that it is more sustainable. We have a very strong domestic and export mix, if you see, at 80-20. Over the last 28 years, we have got so much love and affection from the people of India. We believe in really having that India connect.”
On festive season
As the festive season approaches, Hyundai is optimistic about a surge in sales, particularly during key festivals such as Navratras, Dussehra, and Dhanteras. Garg noted that the initial weeks of the season have shown strong sales, with more growth expected in the coming months.
“The first one week has been very good. So, we are very optimistic that the festive season will bring in a lot of cheers to the customers, to the auto OEMs and of course to the country’s economy as well,” Garg said.