Confident about growing Hyundai’s legacy in India with Exter, says MD & CEO Unsoo Kim

By India Today Auto DeskStrengthening its sport utility vehicle (SUV) portfolio with the launch of the Exter, Hyundai Motor India is confident about growing its legacy further in the country with the addition of this new model, according to a senior company official.

The Exter entered the market earlier during the day. Sitting in the introductory price range of Rs 6 lakh to Rs 10.10 lakh (ex-showroom), Hyundai’s most affordable SUV will take on Tata Motors’ popular model, the Punch.

For reference, the Tata Punch’s volume stood at 133,819 units in the domestic market in the financial year (FY) 2022-23, translating into average monthly wholesale despatches of 11,151 units. Apart from the Hyundai Exter and the Tata Punch, there is no other model in this entry-level SUV segment.

“We are confident that with the addition of the Exter, we will continue to grow the legacy of Hyundai in India,” Unsoo Kim, Managing Director and Chief Executive Officer, Hyundai Motor India, said at the launch of the new vehicle.

According to Kim, Hyundai has invested over Rs 950 crore towards the introduction of this new model in India.

“With the launch of the Exter, Hyundai Motor India has become a full-range SUV manufacturer, offering smart mobility SUVs to customers across a diverse range of segments,” Kim observed.

Hyundai also offers the Venue in the compact SUV segment, the Creta in the mid-size SUV segment, the Alcazar in the three-row SUV segment and the Tucson in the premium SUV segment. Besides, there are two electric SUVs — Kona Electric and Ioniq 5.

“This year has been very action-packed for us. We began the calendar year (CY) 2023 with the launch of the Ioniq 5. It has sold over 500 units in the last five months since launch,” Kim said.

“The Hyundai Exter will challenge boundaries and redefine benchmarks in the industry,” he said, adding that the introduction of all these SUVs goes on to show our vision of SUV leadership in India.

Hyundai was the largest SUV manufacturer in India in CY20 at 180,237 units and then again in CY21 at 252,586 units.

Although Hyundai was able to increase its SUV volume to 293,853 units in CY22, Tata Motors and Mahindra were ahead at 352,623 units and 330,778 units, respectively, according to data from automotive analytics and consulting firm JATO Dynamics.

Hyundai is also planning to enhance the capacity at its manufacturing facility in Chennai to 820,000 units. The Chennai plant currently has an annual installed production capacity of 760,000 units.

Earlier this year, Hyundai also signed a term sheet with General Motors for the potential acquisition of identified assets related to the latter’s Talegaon plant, which has an annual installed production capacity of 130,000 units.

A term sheet, which is a non-binding agreement, outlines the basic terms and conditions of an investment. It is usually followed by more detailed documents, which are legally binding.

“Hyundai has been a part of India’s growth story for the last 27 years. Our journey in India has been memorable only because of customers’ love and appreciation,” Kim noted.

“Hyundai’s commitment to India has been further cemented with our recently announced investment of Rs 20,000 crore, that will be strategically used over the next 10 years towards capacity expansion at our plant in Chennai, introduction of new electric vehicle (EV) models and establishment of a new battery pack assembly unit in Tamil Nadu,” he added.