Hyundai, the second-largest car maker in India may soon have commercial vehicles running on the Indian roads. Korean auto major Hyundai is looking to enter the domestic commercial vehicle market in India. Auto major Hyundai, besides manufacturing passenger vehicles, also manufactures heavy and light commercial vehicles. These heavy and light commercial vehicles from Hyundai are already being exported to numerous countries and Hyundai is evaluating the prospects in the Indian market before endeavouring in the country.
Hyundai may roll out Commercial vehicles in India
A team from Hyundai’s CV (Commercial Vehicle) division had visited India in June. This visit was aimed at studying and understanding the market besides meeting the potential business partners in the country. It was reported that Hyundai had contacted the Hyundai passenger car dealerships to know their interest in selling Hyundai Commercial Vehicles in India. It was officially stated Hyundai’s passenger car divisions would not be involved directly in the whole process.
Hyundai may set up a production facility in India
It was also reported in December last year that auto maker Hyundai was keen to expand its commercial vehicle business. India was Hyundai’s top priority to expand its commercial vehicle business. Besides the expansion plan of the commercial vehicle business in the country, the automaker also showed interest in setting up a production facility in India to boost the production as well as streamline its expansion plan.
Commercial Vehicle market in India
It is worth mentioning here that the Indian commercial vehicle market is chiefly dominated by domestic Commercial Vehicle giants such as Tata Motors, Mahindra & Mahindra and Ashok Leyland. While Tata Motors and Ashok Leyland dominate the HCV segment, Mahindra is a leader in the LCV segment. With strong contenders in Commercial vehicle segment, Hyundai might face fierce competition from the existing auto giants in India. Hyundai had plans to produce commercial vehicles in India.
As per reports, Hyundai had plans to produce Commercial Vehicles from the production unit for both the domestic as well as the export markets. It is believed that Hyundai might enter India with a range of premium buses and trucks. In that segment too manufacturers like BharatBenz vehicles in India and global commercial vehicle manufacturers such as Volvo, MAN, Scania and Daimler might give it a tough fight.
Source: Business Standard