Hyundai Not To Follow Maruti, Would Continue Offering Diesel Cars

  • May 24, 2019

Leading Korean carmaker Hyundai has clarified that it won’t discontinue diesel motors from any of its cars sold in India, even when the BS-VI emission norms are implemented. The new emission standard will come into effect from 1 April next year. Hyundai’s decision means that all its diesel-powered cars—including smaller vehicles like the Grand i10, Elite i20, Xcent, and the recently introduced Venue—will be upgraded to meet the BS-VI standard.

Maruti Suzuki, India’s largest car manufacturer by volume, recently announced that it will stop manufacturing diesel cars once the BS-VI norms are implemented.

Upgrading a diesel car from the current BS-IV standard to BS-VI involves a cost of about ₹1lakh which will make the retail price of the vehicle more expensive. However, upgrading a petrol motor to the same standard, is unlikely entail much cost. Industry experts believe that diesel cars, even those having a higher daily average run, would lose the price edge against their petrol counterparts once BS-VI is implemented. The price difference between the petrol and diesel models of the Venue E is expected to go up from ₹1.25 lakh to ₹2.05 lakh.

Hyundai is currently offering a turbocharged, 1.0-litre direct-injection petrol motor on the Venue which has a higher price than the 1.2-litre petrol unit. The price difference between the diesel Venue 1.4 S and the petrol Venue 1.0 S is ₹24,000. The difference, in the BS-VI era, is likely to reach ₹1 lakh.

Kia Motors, which has 33.88 percent investment from Hyundai, is all set to drive into the Indian market with a Creta rival. The debuting Kia subcompact sports utility vehicle (SUV) is likely to be hauled by a 1.5-litre diesel motor. It could be the only diesel engine in Hyundai’s small car portfolio in the days ahead, replacing the 1.6-litre and 1.4-litre diesel engines.


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