In the next 12 to 24 months, Hyundai Motor India plans to aggressively compete with the domestic automaker in the volume electric vehicle industry, where Tata Motors is a formidable rival in the mainstream automotive market. Hyundai India has been granted the go-light by its Korean parent company to take on the Tata Punch EV when it launches the Creta EV, a midsize electric SUV, in the first quarter of 2025.
The second part of 2026 is when the small SUV, codenamed HE1i, is expected to be on sale. It will have a lot in common with the Inster EV that the business debuted at the just-ended Busan Auto Show in South Korea. With the Creta EV, Hyundai Motor India is embracing both ICE-derived electric vehicle architecture and the born-electric car platform, which is based on the widely available and reasonably priced E-GMP (K) platform (for the HE1i EV). The model will be manufactured using locally sourced Exide batteries at the company’s Sriperumbudur plant.
Hyundai Inster: a quick summary
The Casper, which is offered in a few foreign markets, serves as the model for the Inster. The new compact SUV is 230 mm longer than the Casper, with 180 mm more added to the wheelbase to make room for a sizable battery pack. The Inster is marginally shorter than the Citroen eC3, measuring 3,981mm, and the Tata Punch EV, measuring 3,857mm.
In international markets, two motor options have been revealed: a 115-hp and a 97-hp motor that both provide 147 Nm of torque. There are two NMC battery packs available: the Standard 42kWh and the Long-Range 49kWh, which have respective WLTP claimed ranges of 300 km and 355 km. When it arrives, the India-spec HE1i is probably going to have two battery back options as well.
The Inster is well-equipped with standard Hyundai features, including ADAS, auto climate control, dual 10.25-inch screens for the instrument panel and touchscreen infotainment, and a 360-degree camera with blind spot monitoring.
Hyundai India’s EV manufacturing and sales goals
Hyundai Motor India plans to produce roughly 90,000 units a year between the Creta EV (26,000 units) and compact electric SUV (65,000 units). However, this also includes a sizable amount designated for export, particularly in relation to the smaller SUV.
For the next eight years, the business has committed Rs 20,000 crore to the development of electric vehicles in the Indian market. Hyundai said in its draft hearing red prospectus (DRHP) that it intends to introduce the right models in order to align its EV strategy and timeframe with the nation’s market demand. Hyundai India will introduce four new electric cars, including a mass-market model, according to the DRHP. At the end of the current fiscal year, the release of its well-liked Creta EV will be announced.
“Our strategy involves a gradual rollout, beginning with the introduction of high-end, premium electric vehicles. As the EV market and ecosystem sales grow in India, we intend to go towards the mainstream market”. Accordingly, the firm stated, “We plan to introduce four EV models in the future, including the Creta EV, in the final quarter of fiscal 2025.” An EV version of the Venue compact SUV and a Grand i10 Nios-based EV is being considered, in addition to the finalized Creta EV and compact EV.
The xEV portfolio might be tailored to India
With the 2019 release of the Kona Electric and the Ioniq 5, the South Korean automaker was among the first to introduce an electric vehicle in India. But the business needed more figures because these were imported. Hyundai India thinks that a “key enabler” for EV initiatives in India will be the broad xEV portfolio of its South Korean parent company, which comprises battery EVs, hybrid EVs, plug-in hybrid EVs, mild-hybrid EVs, and fuel cell EVs.
“We think that our expertise in creating specialized, regionalized ICE models will enable us to capitalize on their expertise in creating localized xEV models for the Indian market,” the DRHP memo continued.
Tata Motors sells roughly 75,000 electric vehicles (EVs) per year, comprising four models: the Tiago, Tigor, Punch, and Nexon. With the introduction of the new Curvv, Harrier EV, and Sierra EV within the next 12 to 24 months, the business is enhancing its product line.
Even after introducing the Punch EV earlier in the year, Tata Motors has seen a decrease in monthly sales. Hyundai will give Tata Motors new rivals, although the latter is open to new entrants as long as it can contribute to the growth of India’s nascent electric vehicle sector.
With a market share of more than 75%, Tata Motors is the industry leader in the electric vehicle automobile segment. With just 30,000 units separating the two firms, Tata Motors has been edging closer to Hyundai Motor India for the second spot. If the shift to electric vehicles (EVs) gains traction, Hyundai and Tata Motors may face new competition in the EV market for the second spot in the rapidly expanding Indian passenger car industry.
