Hyundai Motor Group plans to launch its first hybrid vehicles in India in 2026, according to three sources. The South Korean automotive giant is shifting its attention from electric vehicles (EVs) to develop in a key market.
According to sources, the parent company of Hyundai Motor and Kia Corp. is considering launching a hybrid SUV similar to its mid-sized Creta SUV in India between 2026 and 2027 while continuing their EV efforts, as reported by Reuters.
Hyundai Motor Group said it will customize product strategies to meet varied market demands and advance electric mobility in response to requests. Hyundai's transition to hybrids, which blend gasoline and electric motors, underscores India's growing desire for such technology. This trend has caused the corporation to abandon its EV-focused strategy. Currently, Hyundai and Kia sell only gasoline and diesel cars in India, along with imported EVs like the IONIQ 5 and EV6.
Hyundai Aims India Hybrid Market Dominance
Analysts expect Hyundai and Kia to dominate the Indian hybrid market because of their competence. In this category, local brands lack competitive alternatives. Japanese automakers, like Toyota, currently dominate the hybrid market.
However, Hyundai and Kia confront problems owing to India's fledgling EV manufacturing and charging infrastructure, despite its long-term strategic importance. Despite the situation, Hyundai is emphasizing the Indian hybrid market as an intermediate measure, adapting its worldwide technology for the Indian market.
Hybrids are becoming more popular in India due to their cost-effectiveness, fuel economy, and lack of charging infrastructure, which highlights market potential. Despite regulatory differences, hybrid sales are rising due to consumer demand for ecologically friendly options.
Issues such as poor charging infrastructure, expensive pricing, and slow EV sales in India prompted Hyundai Motor Group to switch focus to hybrids in India. The carmaker is adapting its hybrid technology from other countries for the Indian market to meet rising customer demand for hybrids, according to recent reports.
India sold over 4 million cars in 2023, with hybrids, led by Toyota Motor, accounting for roughly 2 percent.
Hyundai's strategy shift toward India includes a $3 billion IPO, demonstrating the company's commitment to the Indian market, per WION. This decision follows Chinese production cuts and the sale of two Russian factories.
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(Photo : Spencer Platt/Getty Images)
People walk through the Hyundai booth at the New York International Auto Show on March 27, 2024 in New York City.
3.4 Million Cars Recalled in US
Separately, the South Korean vehicle maker faced controversy as Hyundai and Kia recalled 3.4 million US automobiles due to fire hazard concerns, as previously reported by TechTimes. However, six months later, many of these vehicles remain unrepaired, prompting safety concerns.
Hyundai and Kia blamed the delay in repairs on part shortages, particularly fuses that moderate electrical currents on circuit boards connected to brake fluid leaks. The recall affected 2010-2017 Santa Fe, Elantra, Sportage, and Forte cars.
Hyundai and Kia say the affected vehicles are safe to drive, but they suggest owners contact them or their dealers if they notice dashboard warning lights or burning scents, according to AP News. Since the September recall, "thermal incidents," involving flames or high heat, have not caused injuries or deaths.
Safety advocates worry about the lengthy repair procedure, which exceeds car recall schedules. Brake fluid leaks can compromise braking; therefore, owners should park afflicted cars outdoors and away from other structures.
Despite Hyundai and Kia's attempts to speed up repairs and reassure owners of their safety commitment, safety groups and owners remain concerned. Rapid and efficient resolutions are necessary to reduce risks and restore customer trust in companies.
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