Hyundai expects 9-10 percent growth in passenger car sales during festive season

The launch of the new Exter has led to demand for SUVs. 65,000 bookings have been made so far and there is a six-month waiting period.

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  • Storyboard18,
| September 4, 2023 , 5:02 pm
The car maker’s move comes at a time when the EV penetration in passenger cars continues to hover around 1.5-2%, according to the Federation of Automobile Dealers Associations (FADA). (Image sourced from CNBC)
The car maker’s move comes at a time when the EV penetration in passenger cars continues to hover around 1.5-2%, according to the Federation of Automobile Dealers Associations (FADA). (Image sourced from CNBC)

According to a CNBC-TV18 report, sports utility vehicles (SUVs) currently stand for a strong 64 percent of Hyundai’s total sales. The launch of the new Exter has led to demand for SUVs. 65,000 bookings have been made so far and there is a six-month waiting period. In H1 of 2023, SUVs were 54 percent of Hyundai’s sales and after the launch of the Exter, the SUV share has risen to 64 percent.

Tarun Garg, chief operating officer (COO) of Hyundai Motor India Ltd told CNBC-TV18, that both rural and urban areas are witnessing equally strong SUV demand. “19 percent of sales came from rural areas in August. SUV demand is equally good in both rural and urban areas. This is because of better road infrastructure and better internet connectivity in villages now,” he stated.

Garg highlighted that the festive season has been off to a good start with the company seeing a 10 percent growth in sales in Kerala during Onam. Overall, Hyundai expects a 9-10 percent growth in passenger car sales during the entire festive season compared to last year.

The report also mentioned that Hyundai’s flagship SUV Creta continues to register strong growth, with a monthly off-take of approximately 13,000 units. The company is witnessing massive demand for cars with higher safety features. According to Garg, 35 percent of the sales of the Verna sedan are for the model with ADAS features and now we are also launching the new Venue with ADAS features.

Hyundai recently declared a Rs 20,000 crore investment in Tamil Nadu towards localisation of electric vehicles. In order to deepen its manufacturing footprint in India, Hyundai recently signed an asset purchase agreement for acquisition of Talegaon Plant.

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