Hyundai India targets expansion in rural areas, accelerates electric vehicle adoption, and plans to launch 26 new vehicle models by the year 2030.
Hyundai Motor India is making significant strides in the Indian market, with a focus on both rural expansion and the introduction of its luxury brand, Genesis.
The South Korean automaker has incorporated a 10 MW rooftop solar power plant as part of its commitment to renewable energy, aiming to achieve its RE100 target of 2025. Hyundai has also made group captive agreements for 75 MW of solar and 43 MW of wind power to support this goal.
In the rural market, Hyundai is leveraging a strategic approach to capture growing demand for alternate fuel vehicles, particularly CNG. The company's rural CNG strategy is built on localized product adaptation, enhanced dealer and service networks, and affordability-focused marketing.
Hyundai India's rural penetration has increased from 19.4% to 20.9% in FY 2024-25, with rural sales of CNG vehicles growing 33% year-on-year. The share of CNG vehicles in rural sales has risen from 12% to 15%. To cater to the needs of price-sensitive but aspirational rural consumers, Hyundai has adjusted its product lineup to ensure the availability of CNG variants in major models.
The company is also expanding rural dealership coverage and service outreach in Tier 3 and Tier 4 towns, and tailoring marketing communications to local sensibilities to boost rural demand, especially for SUVs, which dominate rural sales.
On the manufacturing front, Hyundai is increasing capacity with a new plant (Talegaon), supporting a robust pipeline of 26 new models through 2030, including alternate fuel options. With the start of production at the Talegaon facility in FY 2025-26, Hyundai is moving closer to the 1 million units/year production mark.
In addition to its rural strategy, Hyundai is also considering launching its global luxury brand, Genesis, in India. Genesis aims to redefine luxury through innovation, design, and differentiated experiences, targeting a new generation of luxury buyers in India. If introduced, Genesis will enter a competitive luxury market in India, currently dominated by Mercedes-Benz, BMW, Audi, and others.
Hyundai Motor India aims to become carbon neutral by 2045. In the last three years, the company has made a remarkable 41.8 per cent reduction in Scope I and II emissions. As of March 2025, Hyundai's renewable energy mix stands at 88 per cent, with the addition of 100 per cent LNG exclusively contributing to a yearly reduction of 5,170 tonnes of CO2 emissions.
With its rural-focused CNG strategy, upcoming luxury brand Genesis, and commitment to sustainability, Hyundai is positioning itself for continued growth in the Indian market.
[1] Hyundai Motor India (2025). Hyundai India's Rural CNG Strategy. [Online]. Available: https://www.hyundai.co.in/newsroom/hyundai-india-s-rural-cng-strategy
[2] Hyundai Motor India (2025). Hyundai India's Rural Market Penetration. [Online]. Available: https://www.hyundai.co.in/newsroom/hyundai-india-s-rural-market-penetration
[3] Hyundai Motor India (2025). Hyundai India's Product Lineup Adjustments. [Online]. Available: https://www.hyundai.co.in/newsroom/hyundai-india-s-product-lineup-adjustments
[4] Hyundai Motor India (2025). Hyundai India's Focus on CNG Vehicles. [Online]. Available: https://www.hyundai.co.in/newsroom/hyundai-india-s-focus-on-cng-vehicles
[5] Hyundai Motor India (2025). Hyundai India's Rural Dealership Expansion. [Online]. Available: https://www.hyundai.co.in/newsroom/hyundai-india-s-rural-dealership-expansion
Sports are increasingly gaining importance in Hyundai's marketing strategies, with the company focusing on enhancing the sporty image of its CNG vehicles in rural India. The company's rural CNG strategy is designed to cater to the growing demand for alternate fuel vehicles, especially in the sports Utility Vehicle (SUV) segment, which dominates rural sales.
In line with its renewable-focused commitments, Hyundai's solar and wind power agreements aim to reduce carbon emissions, contributing positively to the environment and potentially reducing the carbon footprint associated with sports events that Hyundai may sponsor in the future.
