Hyundai, Kia to launch first electric cars made in India next year

South Korea’s Hyundai Motor Group will launch its first electric vehicles made in India by 2025 as the parent company of the Hyundai and Kia brands looks to strengthen its presence in the nascent space dominated by Tata Motors.

Production of locally made Hyundai electric cars will begin by the end of 2024 and be launched by 2025, alongside India-made Kia electric cars, Hyundai Motor Group said in a statement on Thursday, adding that it will introduce five the model until 2030

Both brands will use batteries made by Exide Energy Solutions to power their EVs, they said earlier this month.

India is the biggest market outside North America and Europe for Hyundai, where its unit is heading for a $3 billion (roughly Rs 24,997 crore) IPO – the country’s largest.

Hyundai, India number. 2 carmaker known for its best-selling sports car ‘Creta’ currently sells two electric models in India, the Kona and the IONIQ 5, neither of which are produced in the country. Kia’s only electric offering, the EV6, is imported.

The company also confirmed Hyundai’s goal of reaching annual production of 1 million by 2025, adding that it will expand Kia’s capacity to 432,000 from about 300,000. Total capacity will rise to 1.5 million units.

Earlier this year, Hyundai completed the acquisition of a former Chevrolet plant in the western state of Maharashtra as part of its drive to increase production to 1 million units.

The announcements came during Hyundai Motor Group Executive Chairman Euisun Chung’s visit to India – his second visit in less than a year.

© Thomson Reuters 2024