Hyundai India’s first priority in 2023 is to clear its existing order book of 115,000 units, the company’s newly appointed Chief Operating Officer Tarun Garg said in a conversation after the headline-grabbing launch of its flagship electric vehicle, the Ioniq 5.
The Ioniq 5, which will be locally assembled, arrives via the Completely Knocked Down (CKD) route, at an introductory price of Rs 44.9 lakh (ex-showroom). The introductory price is reserved for the first 500 buyers.
“We’ve already received 200 bookings,” said Garg.
However, the first order of business for Hyundai, as far as 2023 is concerned, is clearing its order bank of 115,000 cars.
“We currently have about 115,000 orders pending, out of which about 50,000 orders are for the Creta” said Garg, adding that “despite new competition having been introduced, the Creta continued to be on a very strong wicket last year, witnessing the highest ever demand in the model’s manufacturing history.”
Garg also stated that models like the Venue also have about 30,000 pending orders which Hyundai hopes to clear soon, and ramp up production to 820,000 units by June this year.
When asked about what percentage of funds are being allocated for Internal Combustion Engine (ICE) powertrain research and development, Managing Director and Chief Executive Officer Unsoo Kim said ICE engines will continue to feature in cars, and will see a longer lifespan in developing car markets.
Garg added that diesel powertrains will also continue to remain a mainstay of the brand’s ICE line-up, given the popularity of Hyundai’s Sports Utility Vehicles (SUVs).
“As sales of SUVs grow, diesels will as well,” said Garg, concurring that even though Hyundai has now entered the luxury EV segment, it will continue to cover a wide variety of segments from mass market to premium SUVs.
This serves as a direct contrast to Tata Motors, whose diesel powertrains will soon be phased out, and whose Managing Director of the Passenger Cars and Passenger EV division Shailesh Chandra confirmed that the brand’s latest pair of turbo-petrol engines will be the last ICE engines developed by the brand.
At present, Tata Motors is the third largest carmaker, while Hyundai made it to the second-largest spot by a close margin.
Unlike Tata Motors, however, Hyundai isn’t discounting hybrids just yet. When asked whether the brand could switch to hybrid powertrains, Kim stated that should the government regulations allow it, and should there be strong consumer demand, both hybrid and hydrogen-powered vehicles will be made available in the Indian market.
“The market’s wish is our command,” said Kim, while also stating that “a lot of our focus is on electric and hydrogen (powertrains)”.
As for the coming year, both Garg and Kim see the semiconductor situation improving with the latter acknowledging that while rising geopolitical tensions are a concern, the semiconductor situation will only improve.
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