Hyundai to sell 1 million cars in India from 2020-2021; the Kia brand will be launched to further increase the company’s presence in the market
South Korean auto manufacturer Hyundai has seen immense success in Indian market in last decade. Inspired by the success, the company is targeting to sell more than 1 million cars in the country by the end of this decade. This marks around double the sales figure from now for the Korean auto major.
The company is also gearing up to launch its subsidiary Kia in the Indian market, and with the new brand’s entry in the country Hyundai could sell nearly 1.1 – 1.2 million cars per year in Indian domestic market. In last year the company has sold 4.65 lakh cars in the country, and it produces nearly 1.2 million cars per year, which not only sell in the domestic market but also exports to overseas markets.
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Maruti Suzuki is undoubtedly the largest auto manufacturer in the country, and also the most popular brand too. It has already cleared its ambition of reaching an annual sale of 2 million units by the end of this decade, and Hyundai’s plan just signifies the Korean automaker’s ambition to take on the Maruti Suzuki. With Kia’s launch Hyundai is directly targeting the Indo Japanese rival, as it would be give the auto major a giant leap in the sales figure.
The Kia’s new manufacturing facility will give the Hyundai India additional capacity at zero fixed cost, and also it will give the Kia itself a chance to reach the goal faster due to the combined capacity utilization. Also Kia can use Hyundai India’s already well established network across the country, therefore leaving both the company getting economic advantage.
Also read: Kia Eyes Maruti Suzuki with Localized Manufacturing
In recent times, Hyundai has seen a much desired success with its i20 range, and the upmarket compact SUV Creta has given the company much expected success too. Just a few days ago it has launched the new Elantra, and now it is preparing to launch the all new Tucson.
Source: ET Auto