Hyundai is planning to produce a low-cost mini car in India by 2011 to compete with locally produced vehicles such as Tata's new Nano, a company executive said on Wednesday.
The low-cost, fuel-efficient mini car models will be priced at about $3 700, Cho
Won-suk, executive vice president of Hyundai's AdvancedTechnology Center, told Dow Jones Newswires at an industry event.
Mumbai-based Tata recently unveiled the Nano - billed as the world's cheapest car - and said it will go on sale for $2 500 by October.
Cho said no production of the mini-car is planned for South Korea.
Hyundai is the second-largest automaker in India, where small cars dominate the market. Maruti Suzuki Ltd., in which Japan's Suzuki owns a majority stake, is the market leader with about 50% share. Homegrown Tata is third-biggest.
Hyundai, together with its affiliate Kia, is the world's sixth-largest carmaker by sales.