Hyundai, India's second largest carmaker, seems to have shifted its focus to electric vehicles in a major way, if reports to be believed.
The South Korean auto giant has, reportedly, ended the development of its future internal combustion engines. The report by Business Korea also said Hyundai has officially shut its engine development department at the company's Namyang Research Institute in Seoul. It also said that Hyundai's powertrain group was reorganised into an electrification development team and a battery development group, too, has been established.
The Korea Economic Daily, too, confirmed the developments, though the company is yet to officially confirm it.
The Chosun Ilbo, too, reported a related a development on Hyundai’s hydrogen research. The South Korea’s biggest carmaker has reorganised the fuel cell division and the R&D team is now "greatly reduced", the report quoted a source as saying. Reasons cited are inability to reduce production costs, lack of marketability and underdeveloped charging infrastructure.
The move is surprising because Hyundai Motor Group Chairman Euisun Chung, since he took the company’s reins last year, has been showing intent to embrace hydrogen-based technology, especially with the company’s Hydrogen Vision 2040. The company is unlikely to shelve its hydrogen car goals, but reports suggest that electric vehicles have been prioritised.
In fact, Hyundai and its two subsidiaries Kia and Genesis have already revealed their electrification strategy for the global market, with India being at the centre of it. Hyundai India has already announced to bring in six electric cars by 2028. It has also promised to focus on charging infrastructure development. The company has announced that it will bring E-GMP architecture-based electric cars to India.
Hyundai will launch affordable and premium electric models, including sport utility vehicles and sedans, starting with its first electric vehicle in 2022, Tarun Garg, director sales and marketing for Hyundai Motor India, had said.
Kia, too, has announced that it will come up with a detailed India-specific electric vehicle strategy soon in 2022.
