Hyundai Motor Company has officially confirmed plans to launch a new, locally designed and manufactured compact electric SUV in India by March 2027, according to announcements made at the company’s 2026 CEO Investor Day. Jose Munoz, president and CEO of Hyundai Motor Company, stated that a brand-new compact SUV is coming, designed and localised in India. The upcoming vehicle, currently codenamed HE1i, was initially announced during Hyundai’s Investor Day 2025 and has now been formalized as a core component of the automaker’s regional product strategy.
Hyundai Announces Compact Electric SUV for India Debut by March 2027
The upcoming sub-4-metre model will be positioned beneath the Creta Electric in Hyundai’s existing portfolio, offering an alternative for buyers seeking an electric SUV at a more accessible price point. Unlike modified versions of existing petrol-powered vehicles, the HE1i is developed as a born-electric model utilizing Hyundai’s dedicated E-GMP (K) platform. This specialized architecture also underpins the Inster EV available in international markets.
Production, Localization, and Battery Details
Manufacturing will take place at Hyundai’s Sriperumbudur facility located in the state of Tamil Nadu. To maintain competitive production costs and aggressive market pricing, the company is implementing a high degree of domestic localization. As part of this strategy, the vehicle will utilize locally sourced battery packs supplied by Exide.
The electric SUV is slated to be offered in both standard-range and long-range versions. While exact battery capacities and official driving range figures for the India-spec variant have not yet been finalized by the manufacturer, international counterparts such as the Euro-spec Inster feature a 42kWh battery offering a WLTP-claimed range of 300km, alongside a larger 49kWh long-range option providing a claimed range of 355km.
Advanced Technology and Market Competition
On the interior, the cabin is set to feature a next-generation infotainment system alongside Level 2 assisted driving technology. Industry reports indicate the infotainment unit could utilize Hyundai’s new Pleos Connect system, which is also anticipated for rollout on the upcoming third-generation Creta.
Upon its market introduction, the HE1i will enter a highly competitive segment of India’s automotive sector, going up against established rivals including the Tata Nexon.ev, Mahindra XUV 3XO EV, and Kia Syros EV. Recent spy images published online have captured fully camouflaged test mules of the HE1i undergoing road trials in India, featuring configurations with both alloy wheels and smaller steel wheels.
Strategic Growth and Sales Targets
The introduction of the compact electric SUV aligns with Hyundai’s broader electrification goals for the region. The corporation has stated an expectation for electrified vehicles to account for 50 percent of its total sales in India by the year 2030.
Presently, Hyundai’s domestic EV lineup consists of the Creta Electric and the Ioniq 5. By introducing a more compact and locally produced offering, the company aims to capture a larger share of entry-level and mainstream electric vehicle buyers who require a practical SUV format without stepping up to higher-priced segments.
