Hyundai plans six electric vehicles by 2028, to invest Rs 4,000 crore

South Korean major Hyundai, which has the second-largest market share in India’s passenger vehicle market, will invest around Rs 4,000 crore to launch six electric vehicles (EVs) by 2028. The first of the six vehicles will come in 2022.

Of the six, around three will be developed on Hyundai’s global electric vehicle platform E-GMP while the other three are likely to be on modified platforms in India. The company plans to have an EV presence in all segments -- from the mass market to SUVs.

India’s leading automakers have taken a divergent road to electrification. While the largest player, Maruti Suzuki, which sells one among every two cars in India, has stayed away from making any firm commitment, citing infrastructure and customer acceptability, Tata Motors has attracted investment from marquee private equity giant TPG Capital and has announced 10 launches in the next four years and plans an investment of Rs 15,000 crore.

“Hyundai Motor India has been delighting customers with the most innovative and technologically advanced mobility solutions over the last two and a half decades. As we continue to redefine the mobility space, today we are yet again showcasing our commitment towards Indian customers with the announcement of expanding our BEV line-up to six vehicles for the Indian Market by 2028,” said S S Kim, managing director and chief executive officer, Hyundai Motor India.

In order to keep prices affordable, Hyundai is maximising localisation for battery cells.

“We want to keep the EVs as affordable as possible. In some markets, along with government incentives other subsidies have brought parity between the price of conventional vehicles and EVs. Many such subsidies are not available in India, but we will like to keep them affordable,” said Tarun Garg, director (sales, marketing and service), Hyundai.

“When we talk about the mass adoption of EVs, the cost of ownership will become a key factor. Battery constitutes 40 per cent of the cost as of now. So bringing down that cost is paramount. This is an opportunity for Hyundai as the costs are high and we can bring them down by taking advantage of our global supply chain capabilities,” Garg said.

Industry sources said the automaker would tie up with Korean major LG Chemical for the localisation of batteries.

For charging infrastructure, the automaker is exploring multiple options like providing home-charging solutions for premium products, public charging stations with third parties like Indian Oil, charging infrastructure at Hyundai dealerships, and portable charging solutions.

The vehicles, said Garg, will have a minimum range of around 350 km. To date, there are three manufacturers that sell models that have a range of over 300 km. The most affordable and the highest-selling EV currently is the Tata Nexon EV, with prices in the range Rs 14-16 lakh.