Genesis, for the uninitiated, is the luxury sub-brand of the Hyundai Motor Group, which is quite successful in some parts of the world
Hyundai Motor India is in the process of evaluating the launch of its Genesis luxury brand in our market. In the last few years, the Indian automobile market has been particularly exciting for the luxury carmakers. Understandably, the German trio have been posting impressive sales. Looking at this trend, the Korean auto giant, the second largest in the country, is thinking about introducing its Genesis portfolio to test the waters and giving the Germans a run for their money, if it is able to price it competitively.
Hyundai Planning to Launch Genesis in India
According to the Annual Investor Report, Mr. Tarun Garg, Whole-time Director & Chief Operating Officer, Hyundai Motor India Limited, said, “Hyundai Motor India Limited is strategically evaluating the introduction of Genesis, Hyundai’s global luxury marque, to redefine luxury through innovation, design and differentiated experiences. This aligns with our aspiration to serve the evolving expectations of discerning Indian consumers.” This is a clear sign that the talks have been going on behind closed doors regarding the potential.
However, the critical decision in this scheme of things depends on the tariff situation in India. We know it has affected many other international car brands in the past. Generally, there are over 100% tariffs on many luxury cars above $40,000. Nevertheless, the latest EV policy of the Indian government stated that these will be reduced drastically if the car company manufactures or assembles in India. In any case, the duties on CKD (Completely Knocked Down) units are much lower. Hence, it would be interesting to see how the laws come into effect in the case of Hyundai.
My View
I feel the biggest advantage that Genesis could have over the luxury car marques in India is if it can severely undercut them in terms of pricing. I believe that even at the premium market end, potential buyers are somewhat value-for-money conscious. Hence, if they find world-class luxury levels in a car which is much more affordable and has that element of exclusivity, they might be willing to own it. Vehicles like the GV70 and GV80 could be great starting points, along with something like the electric GV60 for later. We have to wait for more details.
Also Read: Hyundai COO Tarun Garg Acquires The Luxurious Genesis G80
