NEW DELHI: India’s second largest automaker Hyundai Motor India Ltd (HMIL) on Tuesday launched its new compact sedan priced between Rs 5.80 lakh and Rs 9.23 lakh. Hyundai expect the sub 4-metre sedan, which competes with the likes of best seller Maruti Suzuki Dzire, Honda Amaze and Tata Tiago, will help it to improve its presence in compact segment and the overall sedan segment.
“Compact sedans account for 74 per cent of the overall sedan market. With the Aura, we want to strengthen our presence in the segment and aim to become premier player,” said Amit Dhaundiyal, general manager, product planning, HMIL.
Aura will replace Xcent in the compact sedan segment and will sit with premium sedans Verna and Elantra in Hyundai’s line-up. Last year, compact sedan segment sold 338,000 units and Hyundai, with its only offering Xcent, had a nominal 5.5 per cent market share. However, in the overall sedan market, Hyundai has a market share of 17 per cent.
With India’s largest carmaker Maruti Suzuki decided to discontinue the diesel variant of Dzire from April 1, 2020, when the newer BS-VI emission norms kick in, Hyundai feels they will be in a position to fill the vacuum as Aura comes in BS-VI compliant diesel engine option.
“About 30-40 per cent of compact sedans sold are powered by diesel engines. Very soon, the segment will be ours to take,” said a spokesperson, HMIL. Hyundai, whose market share was at decade high last year despite seven per cent de-growth in overall volume, has decided to sell diesel vehicles from April 2020 with main rival Maruti Suzuki India walking out of the segment.
On the current auto slowdown and future outlook, MD and CEO SS Kim said the company and industry might clock single low digit growth in 2020 as the industry had rock bottomed in 2019.
“We strongly believe that the sales momentum can be carried forward in coming year as well because we are launching Aura, new Creta shortly and other products as well ... I believe we can outperform and can do better in coming year as well,” Kim said.