New Delhi: Hyundai Motor Company is developing affordable electric vehicles for the Indian market, a senior company executive said, as a South Korean automaker, it is planned to start a head on its rivals in this neonatal but potential development market.
In an interview, Hyundai is negotiating with vendors to develop a parallel ecosystem for electric vehicles (EV) in India to further its plans, Hyundai Motor India Managing Director and Chief Executive Officer Sean Seb Kim said in an interview. Its current ecosystem, based on the vendor base for traditional internal combustion engine vehicles, is based in Chennai.
The affordable electric vehicle project running in South Korea is to develop smart EV platform which will develop a range of vehicles for emerging markets like India.
On Tuesday, Hyundai became India’s first company to offer long-range batteries in its Kona Sport Utility Vehicle (SUV), priced at 25.30 lakhs. The corner will soon face competition from MG Motor India, a unit of SAIC Motor Corp in China, which is ready to present its EZS Electric SUV by the end of December.
So far, Mahindra & Mahindra Ltd is the only mass-market EV maker in India, although in limited quantities. Tata Motors Limited recently launched an EV version of its Tiger Compact sedan, which is intended for commercial users. Maruti Suzuki India Limited has hoped to unveil its first EV, Electric Wagon R in 2020.
Kim said, “After launching Kona EV, we are studying various options.” Our initial study shows that rather than presenting more global products, we should have an India-specific EV platform and it will be a big market. Now the work on the development of those vehicles is being worked on. This is very early stage. If we come up with a great solution to the industry and the market, then we can expect large quantities of market with large quantities of EVs as well. ”
Kim did not tell in detail.
Hyundai’s plans adhered to the central government’s nudge for automobile makers to produce environment-friendly vehicles and unveiled incentives in this year’s budget to accelerate the adoption of such vehicles.
In his first budget, Finance Minister Nirmala Sitharaman announced an income tax exemption of up to 1.5 lakhs to EV buyers on interest paid on loans to buy electric vehicles, which had a total exemption benefit of ption 2.5 lakh throughout the loan period. . The minister also announced customs duty exemption on lithium-ion cells to reduce the cost of lithium-ion batteries in India because they are not locally produced. Manufacturers of components like Solar Electric Charging Infrastructure and Lithium Storage Battery will be offered Income-tax deduction attached.
Kim said it would be impossible to produce large-scale market vehicles at affordable prices without the localization of large parts and components. Kona, which Hyundai claims that can run up to 452 km on the same charge, has been gathered from parts imported from South Korea.
“Our Purchase Division is in the very early stages of locating the right partners to establish an electric vehicle ecosystem. It will be a separate set of suppliers compared to the internal combustion engine. Right now, our teams are trying to contact them and understand them and work together to enhance their capabilities and improve the level of technology (for special parts). Therefore, it is a matter of great priority.
He said that EV would be first designed for retail buyers and later would be supplied to rides-hailing platforms such as Ola and Uber.
In 11 cities, 14 dealers will initially be sold in the corner. Hyundai has entered into an agreement with Indian Oil Corporation Limited to open charging stations with fast chargers at selected fuel stations in Mumbai, Delhi, Chennai and Bangalore.