Coming Soon: Hyundai Electric Autorickshaw

The electric three-wheeler segment in India is growing at a rapid pace. Presently, a number of homegrown automakers are already competing in this space. However, it has been reported that the South Korean automotive giant Hyundai Motor India is also looking to enter the electric auto rickshaw and last-mile delivery mobility market in India. To enter this space, Hyundai is looking to join hands with the Indian two- and three-wheeler manufacturer TVS Motor Company.

Hyundai to enter electric three-wheeler market

In order to strengthen its presence in the Indian automotive market, the company is planning to launch new electric three-wheelers in India. These three-wheelers will most likely be launched in different iterations, such as auto rickshaws and last-mile delivery vehicles, and will cater to individual drivers and small businesses, respectively.

As per reports, Hyundai will not be manufacturing these electric three-wheelers itself. Rather, it is planning to enter a partnership with TVS Motor Company. Under this partnership, Hyundai will become responsible for the engineering and design of these three-wheelers. On the other hand, TVS will manage the local manufacturing under a contract agreement.

When can we see a Hyundai electric auto rickshaw?

It is being speculated that Hyundai could be showcasing its electric three-wheelers at the Bharat Mobility Auto Expo. We can expect to see the brand’s electric rickshaw as well as last-mile delivery vehicles. Presently, neither Hyundai Motor India nor TVS Motor Company has confirmed this partnership.

Hyundai could also launch its ride-pooling app

In addition to the electric three-wheelers, it has been reported that the company could also launch its demand-responsive ride-pooling service, Schule, in India. For those who may not be aware, Schule is Hyundai’s service, which offers flexible routing-based carpooling as per real-time demand.

It was launched back in March 2021 in South Korea and has been developed by Hyundai’s AI research lab. With this application-based service and new electric three-wheelers, Hyundai is aiming to cater to local transportation challenges.

Who are the current big players in the electric three-wheeler market?

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At the moment, Mahindra and Mahindra is the largest automaker in the electric three-wheeler segment in India. It is followed by Bajaj Auto, and there are also some startups which are slowly picking up pace in this segment. These include Altigreen and Euler Motors. Additionally, Ola Electric and Hero MotoCorp are also working actively to enter the last-mile delivery segment.

Is Hyundai heading in the right direction?

A number of people will be surprised by Hyundai’s decision to enter the last-mile delivery and electric three-wheeler segment. However, it has to be mentioned that this segment is growing rapidly. Presently, every second unit sold in the three-wheeler segment is now an electric model. Over 6,00,000 units of these vehicles will be sold in 2024, as per reports.

There are a number of reasons behind the growth of the electric three-wheeler segment in India. Of these, the biggest is that the cost of ownership of these vehicles is very low compared to internal combustion engine vehicles. This makes them an attractive option for buyers who want to drive these vehicles themselves.

Also, the government of India is offering a lot of incentives to buyers of electric three-wheelers under the new PM E-Drive Scheme. Apart from these, financing options have made it easier for people to buy these vehicles. Lastly, these electric three-wheelers can be bought in numerous configurations catering to different buyers.

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