As part of its expansion plans and also compete with Maruti Suzuki in the small car segment, Hyundai Motor India Limited (HMIL) plans to launch a new 800cc car in the domestic market. According to Hyundai, research and development (R&D) the new car is under joint development at R&D centres in Hyderabad and Namyam (Korea). The company plans to roll out the car within the next three to four years.
The car maker noted that unlike the Maruti 800, which is only sold in the domestic market, HMIL would cater to domestic and export markets.Hyundai also clarified that its small car will not compete with the Nano.
The Indian small car market is dominated by Maruti Suzuki with over 50 per cent market share. Hyundai, which is at the second position plans to expand its market share in the demanding small car segment in the country and has aimed at a target of 22 per cent market share in the current year.
Hyundai Motor India has registered total sales of 327,160 vehicles in the calendar year 2007, an increase of 9.2 per cent over 2006. In the domestic market it clocked a growth of 7.6 per cent as compared to 2006 with 200,412 units, while overseas sales grew by 11.8 percent, with exports of 126,748 units.
HMIL currently had capacity of manufacturing 20,000 units per month and 600,000 units per year at its manufacturing units. HMIL also plans to expand its dealer network, which will be increased from 230 to 300 this year.
Banking on the success of i10, Hyundai also plans to bring its new model i20 in India by the end of 2008. The auto maker will unveil the new model in the Paris Auto Show in October this year. Hyundai currently sells 20,000 i10 per month and is the highest selling model for the company. HMIL has already sold 2 lakh units this year and exported more than one lakh cars.