In a major strategic move, Hyundai Motor has officially confirmed plans to launch a highly localized, A+ segment electric SUV in India by 2027. This new model is poised to be a direct competitor to the popular Tata Punch EV and is expected to be a critical volume driver for the Korean automaker, with a targeted starting price of around ₹10 lakh (ex-showroom).
This announcement marks a significant shift in Hyundai’s electric vehicle strategy for India. After introducing globally engineered models like the Ioniq 5 and Kona Electric, the company is now focusing on developing regional vehicles tailored to specific market needs. The upcoming micro-SUV is being conceived from the ground up as an electric vehicle, designed specifically for Indian consumers and built with a heavily localized supply chain to ensure competitive pricing.
“In India, we’re proud to launch the country’s first EV designed specifically for Indian drivers with a localised supply chain,” stated José Muñoz, Global CEO of Hyundai, during the company’s 2025 CEO Investor Day. This local-first approach is crucial for success in the world’s third-largest car market, where cost sensitivity and value are paramount.
While the launch was initially anticipated for late 2026, industry analysts suggest the timeline was adjusted to 2027, likely in response to a complex global EV demand landscape. This delay allows Hyundai to perfect its strategy for what is expected to be one of the most competitive segments in the Indian auto industry.
Inspired by Casper, Designed for India
Codenamed internally as the ‘HE1i EV’, the new SUV is expected to draw heavy inspiration from the Hyundai Casper (sold as the Inster in Europe). However, it will be far more than a simple rebadge. Indian buyers can anticipate a bold, youthful design language that may include signature split headlights, pixel-style LED graphics, and practical elements like pillar-mounted rear door handles.
The interior is likely to be a major selling point, offering features typically found in more premium segments. A fully digital driver’s display, a large touchscreen infotainment system with wireless Android Auto and Apple CarPlay, ventilated front seats, and a wireless charger are all expected to be part of the package, carefully tuned to Indian preferences.
Power, Range, and a Key Local Partnership
The most groundbreaking aspect of the HE1i is its powertrain. It is set to be the first Hyundai model in India to utilize lithium-iron-phosphate (LFP) battery cells, which will be locally manufactured thanks to a strategic partnership with Exide Energy. LFP chemistry is known for its durability, safety, and lower cost—a perfect fit for an affordable mass-market EV.
The battery pack is anticipated to have a capacity between 35-40 kWh, which should translate to a certified range of over 400 km on a single charge. This would address the primary concern of range anxiety among new EV buyers. There is also speculation that Hyundai might offer a smaller, more affordable battery option for city-centric drivers.
Upon its arrival, the Hyundai micro-SUV will not only battle the Tata Punch EV but also its corporate cousin, the Kia Syros EV, scheduled for an early 2026 launch. The two models are expected to share a platform, batteries, and core components to achieve economies of scale, though they will feature distinct designs and brand identities. This 2027 launch sets the stage for an electrifying battle for the heart of the Indian EV consumer.
