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Hyundai, India's TVS Motor pen agreement to develop electric rickshaws

Published: 21 Apr. 2026, 18:53 Updated: 21 Apr. 2026, 19:11

Hyundai Motor Group Executive Chair Euisun Chung, left, sits in a Nexo hydrogen fuel cell vehicle with Indian Prime Minister Narendra Modi at the Korea-India Business Summit held in New Delhi in February 2018. [THE INDIAN EMBASSY IN KOREA]

Hyundai Motor and India's TVS Motor have signed a joint development agreement to advance the development and commercialization of electric three-wheelers, known locally as rickshaws, the Korean automaker announced Tuesday.

The plan is to design customized electric three-wheelers tailored to India’s road conditions and urban infrastructure, while ensuring both price competitiveness and safety. The company also plans to source and produce key components required for mass production locally, strengthening India’s auto parts ecosystem and creating jobs, while also reducing vehicle costs and improving after-sales services.

The agreement is also the result of a commitment made by Hyundai Motor Group Executive Chair Euisun Chung to the Indian market eight years ago. During a visit to India in 2018, when he was vice chair, Chung was told by Prime Minister Narendra Modi of the need for safe and environmentally friendly transportation to improve the country’s traffic congestion.

In response, Chung directed the development of environmentally friendly mobility solutions optimized for the Indian market. He also discussed design directions with Modi during a meeting held around the time of Hyundai Motor India’s initial public offering in 2024. Last year, Hyundai unveiled its India micromobility vision, presenting concepts for electric three-wheelers and micro four-wheel electric vehicles at a local expo.

“We hope the newly developed electric three-wheeler will establish itself as a safe and sustainable means of transportation for people in India,” said Ko Joong-sun, senior vice president of corporate strategy and planning at Hyundai Motor.

Hyundai Motor Group Executive Chair Euisun Chung, left, meets with Indian Prime Minister Narendra Modi at the prime minister’s residence in New Delhi on April 21. [HYUNDAI MOTOR GROUP]

Sharad Mohan Mishra, president of group strategy at TVS Motor, also said, “By bringing together complementary strengths — including our electric three-wheeler platform, engineering expertise and deep understanding of customer needs — we are well-positioned to deliver purpose-built products for India and additional markets.”

India is emerging as a new battleground for global automakers.

It remains one of the few growth markets that has not yet reached saturation and is the world’s third-largest auto market after the United States and China. The country is also pursuing policies to expand green vehicles, aiming for electric vehicles to account for 30 percent of the market by 2030. Electric mobility sales in India reached 2,022,873 units in 2024, up 25.4 percent from a year earlier, according to the Society of Indian Automobile Manufacturers.

Hyundai Motor launched an electrified version of its popular compact sport utility vehicle Creta in the local market last year. The move to commercialize electric three-wheelers and accelerate the development of micro four-wheel electric vehicles appears to be part of its strategy to gain an edge in the electrification race in India.

This article was originally written in Korean and translated by a bilingual reporter with the help of generative AI tools. It was then edited by a native English-speaking editor. All AI-assisted translations are reviewed and refined by our newsroom.
BY KO SUK-HYUN [[email protected]]