Hyundai Motor India expects electric vehicles to contribute 7-8% of its total sales by the next fiscal year, up from about 1% currently. Managing Director and CEO Tarun Garg said the leap will be driven by a new small electric car developed for Indian buyers. The Hyundai India EV Sales Eye 8% Share plan represents a shift for the Korean automaker, which has remained behind Tata Motors, Mahindra & Mahindra and JSW MG Motor in India’s electric passenger-vehicle market.
Small EV to Target Mass-Market Buyers
Hyundai currently offers two electric models in India: the Creta Electric and the premium Ioniq 5. Its EV market share stood at 2% during the first quarter of the current fiscal year, highlighting the need for a more accessible, high-volume product.
The upcoming small car will become Hyundai’s first mass-market EV in India. Although the company has not disclosed its name, specifications, price, or launch timeline, its positioning suggests that affordability, practicality, and localization will be central to the strategy.
Hyundai India EV Sales Eye 8% Share as demand expands beyond premium cities and early adopters. A smaller, competitively priced model could help the brand reach urban families and first-time EV customers seeking lower running costs.
Creta Electric Sales Show Improvement
The Creta Electric shares its platform and much of its design with the popular internal-combustion Creta rather than using a dedicated EV architecture. Nevertheless, monthly volumes reportedly rose to around 1,000 units in August from approximately 400-500 units earlier.
Garg attributed the improvement to its responsive performance, driving experience, and narrow difference between claimed and real-world range. Hyundai’s Ioniq 5, meanwhile, remains an offering priced from Rs 55.7 lakh.
Clean-Fuel Goal and Hybrid Strategy
Hyundai wants clean-fuel vehicles—including EVs, hybrids, and CNG models—to generate 50% of its Indian sales by 2030. The automaker has also committed $5.07 billion in investment, supporting its product, manufacturing, and localisation plans.
The Hyundai India EV sales’ 8% Share target forms an early milestone in that journey. On hybrids, Garg said Hyundai remains technology-agnostic and believes localization is necessary to reduce prices. Plug-in hybrids and range extenders, he noted, become compelling only when offered at the right cost.
Commodity Costs and Export Ambitions
Commodity prices have increased by 300-400 basis points, but automakers have absorbed the impact to protect demand. Garg hopes costs have peaked and will ease soon. He also credited lower GST on small cars, reduced from 28% to 18%, alongside the continued 5% rate for EVs, with supporting market recovery.
Exports now account for 24-25% of Hyundai India’s production, compared with 20% three years ago. The company aims to increase that contribution to nearly 30% within five years.
Hyundai India EV Sales Eye 8% Share, but execution will depend on competitive pricing, dependable range, localization, and charging confidence. If its small EV delivers on those priorities, Hyundai could become a stronger challenger in India’s electric-car market.
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