Hyundai’s Big Bet on Diesel Cars in India: Second-largest Carmaker Not Afraid to Embrace a Fuel Others Are Abandoning

Hyundai, the second-largest carmaker in India, remains committed to diesel fuel despite the industry’s shift away from it due to regulations and taxes related to emissions. This sets Hyundai apart from its main competitor, Maruti Suzuki, and other brands like Skoda, VW, and Audi, which have abandoned diesel altogether.

“Our diesel models continue to enjoy strong demand. If our petrol models have a waiting period of about four weeks, our diesel models have a waiting period of 10-12 weeks,” said Tarun Garg, COO of Hyundai India, in an interview with TOI. Diesel-powered SUVs, in particular, contribute significantly to Hyundai’s sales, with 42% of Creta sales, 66% of Alcazar sales, 61% of Tucson sales, and 21% of Venue sales coming from diesel variants. Garg also assured that Hyundai will introduce more diesel-powered vehicles in the future.

There are several reasons why diesel remains popular, especially for larger off-road vehicles. “Buyers of large SUVs often prefer diesel due to its superior fuel efficiency, offering approximately 30% better mileage compared to petrol. Diesel engines also provide strong initial torque, making them effective for off-roading,” explained Garg.


Although Hyundai’s diesel market share has decreased from 26% to 20% since the previous year, it remains stable at this level. Garg emphasized that there is still significant demand for diesel vehicles in specific states, contrary to the belief that diesel is no longer favored. Hyundai’s unwavering commitment to diesel showcases its dedication to meeting the diverse needs of its customer base.

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