Hyundai Motor is set to launch 46 new vehicles in China and India over the next five years, significantly expanding its presence in these key markets amid challenges in the US and Europe.
According to recent reports, Hyundai Motor Co. CEO Jose Munoz announced in a shareholder letter that the company plans to introduce 20 new car models in China and 26 in India by 2030. This represents a substantial increase compared to the 18 models launched in these markets over the previous five years.
With these ambitious targets, Hyundai aims to boost combined sales in China (444,000 units) and India (832,500 units) to a total of 1.28 million units within the same period. This translates to an average annual growth rate of approximately 12.7 percent from the 702,000 vehicles sold in these two markets last year.
If successful, China and India would account for 23 percent of Hyundai’s global sales, a notable increase from the 17 percent share last year. Conversely, the share of North America and Europe, Hyundai’s traditional strongholds, is projected to decrease from 43.7 percent in 2025 to around 41 percent.
Munoz emphasized that Hyundai will further accelerate its “In China, for China, to the world” localization strategy. As part of this initiative, the company introduced Elexio last year, an electric SUV primarily developed by its China-based R&D center, specifically for the Chinese market.
The Elexio, built on Hyundai Motor’s E-GMP electric vehicle platform, aims to offer competitive pricing through a localized supply chain, including lithium iron phosphate batteries. However, initial sales have been modest, with only 569 units sold in the four months following its launch in October of last year.
For the Indian market, Hyundai plans to introduce an electric SUV developed and manufactured entirely within the country as early as next year. The automaker is also considering introducing its premium brand, Genesis, to the Indian market. At the group level, Hyundai and Kia already have a combined annual production capacity of 1.5 million vehicles in India, supported by four plants in Chennai, Anantapur, and Pune.
Industry analysts suggest that Hyundai’s strategic shift reflects increasing uncertainty in its core markets. In the US, high auto tariffs, currently at 15 percent, have negatively impacted profitability, costing the company approximately 4.1 trillion won ($2.7 billion) last year and contributing to a 19.5 percent decrease in operating profit. The elimination of EV consumer tax credits under the Inflation Reduction Act has also reduced demand.
In Europe, Hyundai faces growing competition from Chinese automakers such as BYD, SAIC Motor, and Volvo Cars. The combined market share of Hyundai and Kia fell to 7.9 percent last year, with sales declining by 2 percent to 1.04 million units, marking a second consecutive year of decline.
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