Since rising fuel prices have been the main worry for car manufacturers all over due to sluggish sales, Hyundai has decided to take a step ahead and concentrate on the diesel car market. In the meantime, Hyundai Motor India is set to increase prices of all cars in next few weeks. While Hyundai has a good image in the West, its loosing on early gains acquired in the Indian car markets.
According to former president of HMIL, B.V.R. Subbu, Hyundai is content to be at the No.2 position when its goal was to achieve the No.1 position. However, with latest developments, Hyundai is looking to expand its performance in all of its segments by launching better products and refreshing the older ones. When HMIL decides to enter thee diesel car market, its main issue is that it doesn’t have a full fledged diesel portfolio. This is so as it has only the i20 that is a functional car in the compact segment where diesel is concerned.
The company is also looking to strengthen its i10 diesel market by being able to manufacture cars and meet demands of the public, unlike the fiasco which hit the diesel variant of the Verna. To help with the manufacture of diesel engines, Hyundai will be building a dual capacity engine plant at Chennai which will help assembly lines switch efficiently between petrol and diesel variants.