The Hindu Business Line : Hyundai studying the option of i10 exports to the US

Mr H.S. Lheem, Managing Director, Hyundai Motor India Ltd, and Olympic gold medalist Abhinav Bindra flagging-off the Hyundai i10 car rally at India Gate on Tuesday. —

Our Bureau

New Delhi, Sept. 10 Hyundai Motor India said that it was pursuing a feasibility study to start its exports of its premium compact car i10 to the US.

Currently, the company, which produces its compact cars in the country and exports to 96 countries, has eschewed entering the American auto market on account of intense competition and poor demand of compact cars in the region.

“We are studying the feasibility of beginning our exports to the US,” said Mr H.S. Lheem, Managing Director and CEO, Hyundai Motor India Ltd on the occasion of the company’s 10th anniversary celebration.

The company also said that espousing its existing strategy of making India the sole hub of its small car exports globally, its i-20 model which would be launched by the year-end, would also be made and exported exclusively from its facilities near Chennai.

Globally, the South Korea-based Hyundai Motor Company has about four compact car models. As i-20 exports will begin, Hyundai would stop exporting its current compact car model Getz, Mr Lheem said.

The company also said that as it had set its eyes on grabbing a larger chunk of the domestic car market, it would be on the strength of its own brands and that it had no plans to bring its group company Kia Motors models in the country.

“We have no plans to introduce Kia brands here and we will sell only Hyundai branded cars,” Mr Lheem responded on reports stating its group company Kia’s plans to make its entry in the domestic market. In tandem with plans to make India an export hub for its small cars, it also announced increasing its head count to 800 at its technical centre in Hyderabad, up from the present staff of 200. This would be for design and development work related to its future models.

Hyundai, which sells half of its overall capacity in the domestic market and the remaining half in the export market, is looking to occupy the top slot in the domestic car market. “We have a share of 22 per cent. By next year, we would like it to grow to 23 per cent…..May be in the near future we hope to be even number one,” remarked Mr Lheem.

The company hopes that its plans to enter into a 800 cc segment could well be a step in this direction.

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