Hyundai Motor India Ltd (HMIL) today sparked off a price war in the compact sedan segment with the launch of its new model, Xcent, at an introductory price ranging between Rs 4.66 lakh and Rs 7.38 lakh.
The Xcent, which will take on the likes of Maruti Suzuki Dzire, Honda Amaze along with Tata Motors' upcoming Zest, will be available in two engine options of 1.2 litre petrol and 1.1 litre diesel.
At present, Maruti's Dzire is the segment leader and is priced between Rs 4.85 lakh and Rs 7.32 lakh (ex-showroom, Delhi).
The Xcent is the sedan version based on the same platform as the compact car Grand i10, which HMIL had launched in September last year.
"Developed with the best of Hyundai Motor's world class technologies, Xcent will create a new benchmark in terms of quality, design, space, features and driving pleasure in the compact sedan segment. We have invested extensive effort in competitively pricing Xcent to offer excellent value," said B S Seo, Managing Director and CEO, Hyundai Motor India Ltd.
With the launch of this model, the company is hoping for a positive sales growth this year after witnessing an overall decline of 1.2 per cent at 6.33 lakh units in 2013.
The new model will complete HMIL's portfolio in the sedan segment from entry level sub-four metre to the premium executive.
"The compact sedan segment has been one of the major drivers of the Indian car market with about 24,000 units a month. We believe the segment will continue to grow and Xcent will further increase the growth," HMIL Senior Vice President Rakesh Srivastava told reporters here.
HMIL has a total production capacity of 6.75 lakh units annually at present and aims to utilise it fully. While the company is focussing on the Indian market, it also plans to export the Xcent in due course of time.
This model is among the four new models that the company plans to launch in the next two years, including a compact sports utility vehicle (SUV), to enhance its position in the market.
Srivastava said Xcent would help the company further consolidate its position in the domestic market.
"We are the second largest car manufacturer in the country and we are hungry for volumes and market share. Last year our share in the country stood at 20.7 per cent. We