Although Hyundai formed a strategy to expand its hybrid line-ups, their EV sales target will remain at 2 million annually by 2030.
South Korea-based global car manufacturer Hyundai, which is exclusively focused on selling hybrid cars, is expected to escalate its portfolio due to the slump in demand for pure electric vehicles. Hyundai, which now has 14 hybrid models, is also aiming to make cars beyond compact and mid-size electric vehicles and pose a huge challenge in the luxury car segments.
Besides Hyundai, Ford, BMW, Toyota, Maruti, and Volkswagen are focused on increasing the growth of hybrid cars. The question appears that amid the increasing efforts to boost electric vehicles all over the world to reduce carbon emissions, why are several large car-makers focusing only partially on manufacturing EVs? Over the past few years, the demand soared very high in regards to hybrid models.
The international market of hybrid vehicles is speculated to increase at a compound annual growth rate (CAGR) of 11.7 percent from 2024 to 2030, reaching USD 457.27 billion by 2030, claims Fortune Business Insights. Hybrids, electric motors with a petrol engine, are more expensive than traditional ICE cars but way cheaper than pure electric cars. There is no range anxiety as it can travel longer just by filling the gas. According to the dealers, the average selling time of hybrids is quite lesser than that of EVs and conventional vehicles.
Hyundai has decided to counter its Chinese counterpart Xpeng, which launched a budget electric vehicle at just $17,000 to challenge rival Tesla. According to Hyundai, they are not shifting their focus from selling EVs, but now, hybrid models will be increased, and the range of EVs will slowly escalate by 2030 when demand spikes again.