Buouyed by the success of its 'A' segment i10 and the Santro, Hyundai Motors India, wholly-owned Indian subsidiary of Korean auto maker Hyundai, now plans to introduce the i20 hatchback sedan in the 'B' segment in India by December 2008, after its debut in the Paris Motor Show in September.

Earlier in January the company had disclosed that it would reduce the weight of the car to boost engine performance, for which it was collaborating with Saudi Arabia's SABIC Innovative Plastics (earlier GE Plastics).

Inaugurating the company's dealership  in Srinagar, B K Lee, regional director north India said the i20 the final pricing had yet to be decided. The i20, is a more more spacious than the Getz, is said to be priced in the Rs 5-6 lakh range and will be made only in India from where it will be exported to other countries.

The Hyundai i20 has been largely built on the lines of the company's premium hatchback - i30 that has already been launched in Europe and Korea. This car will be manufactured with a high degree of specifications in the model to meet European Pedestrian Phase I and II requirements

This model will be rolled out from the company's second plant at Sriperumbudur near Chennai, which was originally scheduled to commence operation by January. Once the new plant is operational, the company's manufacturing capacity would double from 3,00,000 units to 6,00,000 units per annum, with the i10 accountoing for a third of its production.

Being the fifth largest automotive group in the world and the largest passenger car exporter from India, Hyundai was earlier thought to have wanted to replace the Getz with the i20. However, managing director HS Lheem says the i20 would strenghen the company's portfolio in the segment.

The $75-billion Hyundai Motors, which along with its small-car sister company Kia Motors is now the world's fifth largest auto maker,  plans to make India its global hub for small cars as it feels it has a very clear picture of the Indian market.

Hyundai intends to launch diesel variant of the small hatchback i10 by '08-end, and is advancing its rollout schedule in India from the earlier deadline of 2010 to end 2008 or early 2009, fiollowing the launch of the i20. By April it  plans to launch the Santa Fe, its premium cross over SUV model in the country.

H S Lheem, managing director, Hyundai Motors India, said the new engine and transmission plant with a capacity of 2.5 lakh units annually, would produce the new Kappa engine to be fitted in the 'i10' meant for both the domestic and the export markets. He said the new Kappa engine "was exclusively manufactured in India." .

Lheem also denied that the company would cease production of the Santro and Getz after the launch of  'i10'.

He said the new Kappa 'i10' would be sold along with the existing Epsilon 1.1 litre engine variant and would be available in a range of 10 colours. The Kappa engine-fitted 'i10' would also be available with an automatic transmission. A four-speed automatic gearbox was mated to this all new, powerful engine which would add to the convenience of city driving.

In mid-July Hyundai had rolled out the i10 powered by its all new 1.2 litre advanced Kappa engine at its plant in Chennai. The in-line, four-cylinder, 1.2 litre engine while adding to the power is also said to deliver greater operational efficiency in terms of both fuel consumption and emissions.

The aluminium block, first in its segment double overhead cam shaft (DOHC), 16 valve with 32 bit microprocessor Kappa engine is said to deliver 80PS / 5200rpm and 11.4Kgm / 4000rpm torque which results in excellent driveability both in city as well as on the highway. The engine is Euro 5 ready and emits only 119g / km of CO2 which is the lowest for this class of cars.

The Kappa engine i10 will now be also be fitted with an automatic transmission. A four speed 4-speed, automatic gearbox is mated to this powerful new engine. The company has invested $421 million in research and development of the Kappa engine and $250 million on the new engine and transmission plant at Sriperumbudur.

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