AutoPundit : Indian automobile news and reviews » Hyundai to launch new compact car by year-end (2007)

Hyundai to launch new compact car by year-end (2007)

Hyundai Motor India’s next offering in the compact car segment is all set for a November launch. The company’s new small car codenamed `Pa’ which is to be positioned between the Santro and the Getz, is most likely to carry a 1.1-1.2 litre engine. Perhaps again a Maruti WagonR competion ?

“The new car is likely to be launched around November 2007. We may be using the same petrol engine being used on the Santro or we may bring in a new 1.2-litre engine. With the launch we will address the growing compact car market with three offerings,” Mr H.S. Lheem, Managing Director, Hyundai Motor India, said. Further, with growing sales of its diesel cars, Hyundai is also considering to launch a diesel variant of the Getz in the latter half of the current year with the diesel engine being initially imported from its plant in Korea. “We may be using the same petrol engine being used on the Santro or we may bring in a new 1.2 litre engine.” Also plans to launch a diesel variant of the Getz.

“We are doing a feasibility study on `Getz’ with a diesel engine at the moment. If we do bring the car then we would probably look at either 1.2-litre or 1.3-litre option in order to avail ourselves of the excise benefits,” Mr Lheem said.

The company is also exploring the feasibility of going full throttle in the diesel market and may commence manufacturing of diesel engines in India in the next 2-3 years. “In another two to three years if our overall diesel car sales volumes touches about 50,000 units then definitely we would make diesel engines in India,” Mr Lheem said.

Currently, the company sells about 2,500 units of diesel vehicles a month, he said at the launch of the diesel version of its top-end sedan Sonata Embera tagged at an introductory price of Rs 14.75 lakh (ex-showroom Delhi). Mr Lheem added that the company has set an internal overall sales target of 3.4 lakh units this year.

Hyundai is also looking at selling about 100 units a month of the newly launched diesel Sonata Embera, its Vice-President, Marketing and Sales, Mr Arvind Saxena, said.

The company expected 60-70 per cent of overall Sonata sales coming from the diesel variant over the next few months. Hyundai would also be starting operations of its new research and development centre at Hyderabad next month. “It will focus on CAD, analysis and software developments, while the Chennai R&D unit will continue to focus on testing and related activities,” Mr Lheem said.