Hyundai Motor India Ltd will introduce its electric vehicle brand Ioniq in India to tap into India’s ambitious plans to have an all-electric fleet in the country by 2030.
Ioniq, the brand under which the South Korean car maker sells electric, hybrid and plug-in hybrid cars globally, is expected to be showcased at the forthcoming Auto Expo scheduled to be held in February 2018.
Hyundai sells Ioniq in the US, Europe and East Asian markets. According to Livemint, Mr Rakesh Srivastava, director, sales and marketing, Hyundai Motor India, said in an interview that “We will bring electric cars to India and will meet the timeline given by the Union government. Hyundai has the technology required for electric vehicles so we will bring them in all the segments we are present.”
He, however, declined to comment on the introduction of the Ioniq brand in India.
The move comes days after an announcement by Suzuki Motor Corp. on 17 November where the Hamamatsu-based car maker said it will manufacture electric cars for India and supply some units to Toyota Motor Corp. with technical support from the latter. The first electric car from Suzuki, which has a 56 percent stake in India’s largest car maker Maruti Suzuki India Ltd, is expected to be introduced in the country in 2020.
Mr Srivastava said that “We will surprise the market (when it comes to electric vehicles).”
Through a policy-driven move the Indian government has compelled Indian car makers to launch electric cars in the country leading to frenetic activity in the space after the state-controlled Energy Efficiency Services Ltd invited bids to procure 10,000 cars. The bidding process witnessed cut-throat competition between Tata Motors Ltd and Mahindra and Mahindra Ltd. Tata won the tender, which was matched by Mahindra later forcing EESL to award the tender to both companies. EESL has said it will come out with another tender to procure 10,000 more electric vehicles around April 2018. An analyst remained sceptical of Hyundai’s move.
Mr Anil Sharma, principal analyst, IHS Markit said that “Any manufacturer bringing these vehicles to India will essentially be showcasing models. As of now we don’t have a market for pure electric vehicles. Since the government is serious about pushing electric vehicles in the market automakers are trying to hedge their positions.”
For Hyundai, India is now the third largest market after the US and China. Hence, the company will leave no stone unturned to maintain its volumes and most importantly maintain its profitability in India, Srivastava said.
