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Hyundai sets a new target
Hyundai has commenced production at its second passenger car manufacturing plant at Sriperumbudur near Chennai. This new facility has an installed production capacity of 300,000 units per annum, which takes total manufacturing capacity for the South
Korean company to around 6.3 lakh units per annum in India.
For 2008, the company has set itself a manufacturing target of 5.3 lakh cars. The new plant can assemble four different models on its assembly lines, including the i10 model. Future models to be made here are the diesel version of the i10 and the new i20 which is expected to be launched in late 2008 and is primarily for exports.
Unconfirmed reports say that the exports of the diesel i10 have already begun from this new plant. It can produce close to 57 cars per hour, with both domestic and export versions being made on the same assembly line. Later in the year, a new engine plant will produce the ‘Kappa’ engine.
This state-of-the-art 1.2 litre all-aluminium, four-valve per head petrol motor producing over 70bhp will power the i10 essentially for the export markets. With the i10 model joining the line-up, the company’s export destinations are expected to increase to 90 countries by the end of 2008. The company is clearly pushing hard to achieve the Government’s stated goal of making India a manufacturing hub for small cars.
Hyundai has also indicated that it is contemplating bringing out a car which is smaller than the Santro. According to the company, it will see how the Tata Nano performs before taking a final decision on this.
Hyundai India’s senior vice-president for marketing, Arvind Saxena says, “The small car is just a thought and if we decide to go ahead with it, then it would take three years to develop.” Adds Saxena, “Our focus is on small cars like the Santro, i10 and Getz because they constitute the largest segment of the market.”
To support domestic growth, Hyundai Motor India has already strengthened its dealer network from 183 to 230 in 2007, and by the end of 2008 the company plans to expand this to over 300 dealers.
P. THARYAN
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