Hyundai, Kia clock 11.6% combined growth in India in Jan-May on SUV surge
Synopsis
Key Takeaways
Hyundai Motor and Kia delivered strong sales momentum in India during the January–May 2025 period, with combined volumes rising 11.6 percent year-on-year to 4,05,514 units, according to data released by the Society of Indian Automobile Manufacturers (SIAM). The growth was powered almost entirely by surging demand for sport utility vehicles (SUVs), underscoring how thoroughly the segment has reshaped India's passenger vehicle market.
Hyundai's Performance
Hyundai Motor India sold 2,66,317 passenger vehicles in the five-month period, a 10.1 percent increase over the same period a year ago, according to SIAM data. The automaker retained its position as India's fourth-largest passenger vehicle maker, trailing Maruti Suzuki, Tata Motors, and Mahindra & Mahindra. Its two flagship SUVs — the Creta and the Venue — together accounted for more than half of all Hyundai sales during the period, affirming their status as the company's core volume drivers in the Indian market.
Kia's SUV-Led Surge
Kia India recorded an even sharper 14.6 percent on-year sales increase over the same five months, ranking sixth in the passenger vehicle segment behind Toyota. The Seltos and Sonet were the primary growth engines, together accounting for a commanding 76.3 percent of Kia's total India sales — a concentration that reflects both the models' popularity and the broader market pivot toward SUVs at all price points.
Price Hike from June 1
Hyundai Motor India raised vehicle prices by up to ₹12,800 effective 1 June 2025, citing rising input costs, higher commodity prices, and increased operational expenses. In an exchange filing, the company said it had worked to optimise costs and limit the burden on customers, but was ultimately compelled to pass on a portion of the increased expenditure through what it described as a 'nominal' price adjustment. The quantum of increase varies by model and variant.
India's SUV Market in Context
The performance of both Korean automakers reflects a structural shift in Indian consumer preference: SUVs now dominate new-car buying decisions across urban and semi-urban markets. This is the third consecutive year in which SUV-heavy portfolios have outpaced the broader passenger vehicle market's growth rate. Notably, the combined Hyundai Motor Group tally of over 4 lakh units in just five months positions the conglomerate as a formidable force in a market increasingly contested by domestic players such as Tata Motors and Mahindra, both of which have aggressively expanded their own SUV lineups.
With demand resilient and model pipelines active, both Hyundai and Kia are expected to sustain their growth trajectories through the second half of 2025, even as the price revision tests buyer sensitivity at the entry and mid segments.