According to The Korea Economic Daily, Hyundai Motor Company achieved a record high in vehicle deliveries in India for the first half of this year, but its market share has decreased.
Data released by the Federation of Automobile Dealers Associations (FADA) on July 7 shows that from January to June this year, Hyundai sold 272,207 passenger vehicles in the Indian market, a 2% year-on-year increase. Hyundai's market share in the Indian passenger car market for the first half of the year was 13.8%, second only to Maruti Suzuki India Ltd (40.8%); Tata Motors and Toyota Motor ranked third and fourth with market shares of 13.6% and 5.8%, respectively; Kia Motors' first-half sales in India were 112,844 units, down 0.8% year-on-year, ranking fifth in market share.
FADA's data indicates that Hyundai's market share in India has been steadily declining over the past few first halves, from 17% in 2021 to 14.4% in 2022, and to 14.1% in 2023. In contrast, Tata Motors, the third-largest car seller in India, saw its market share increase from 9% in 2021 to just 0.2 percentage points behind Hyundai this year. In January and March of this year, Tata's passenger car sales even surpassed Hyundai's.
Toyota Motor has also been growing rapidly in India. Compared to the same period in 2021, Toyota's shipments more than doubled in the first half of this year, reaching around 114,000 units.
Faced with the rapid rise of global and domestic carmakers in India, Hyundai Motor is increasing its stakes to boost its penetration in the Indian market. In August last year, Hyundai acquired General Motors' car plant in India to use it for producing electric vehicles specifically designed for the Indian market. Currently, Hyundai operates two factories in Chennai, Tamil Nadu, and one in Talegaon, Maharashtra.
Additionally, Hyundai Motor India plans to go public. According to Hyundai's IPO prospectus, its Indian subsidiary aims to raise up to $3 billion through an initial public offering (IPO), potentially becoming the largest IPO in India's history. The company plans to use the IPO funds to significantly increase its annual production capacity in India, aiming to make India a new global manufacturing hub. Last year, Hyundai produced 765,000 vehicles in India, and this year, the company plans to increase its annual production capacity in India to 1 million units.
