Kia, South Korea’s second-largest carmaker, is set to launch its compact SUV ‘Syros’ in India next year. Kia, the maker of K5 sedans and Sorento SUVs, unveiled the new model for the first time in India on Sunday.The Syros SUV will be available in two trims, one with a 1.0-liter gasoline turbocharged engine and the other with a 1.5-litre diesel engine, as per the company’s press release. The company’s strategy doesn’t stop at India. Following its sales in India, Kia plans to introduce the compact car in the Asia-Pacific region, Latin America, and the Middle East. This move is seen as a strategic expansion of the company’s footprint in emerging markets.
The Syros SUV comes equipped with safety features such as front collision avoidance, lane-keeping assistance, surround view monitor, and driver awareness warning systems. However, the company has not yet disclosed the vehicle’s price. In related news, Kia India has announced a price hike of up to 2 percent across its entire lineup, effective from January 1. This decision is primarily due to rising commodity prices and escalating supply chain-related costs. Hardeep Singh Brar, senior vice president, sales and marketing, Kia India, stated, “At Kia, we are committed to delivering exceptional, technologically advanced vehicles of the highest quality to our valued customers. However, due to the persistent rise in commodity prices, unfavorable exchange rates, and increased input costs, a necessary price adjustment has become unavoidable.”
Despite these challenges, Kia is absorbing a significant portion of the cost increase, minimizing the financial impact on its customers. This move is seen as a strategic decision to ensure that customers can continue enjoying their favorite Kia vehicles without a major dent in their pockets. Kia’s sales figures have been impressive, with 1.6 million units sold in India and overseas markets combined to date. Its best-selling innovation, Seltos, has surpassed 670,000-unit sales, followed by Sonet with over 480,000 units, Carens with 214,400 units, and Carnival with over 15,000 units.
The auto industry has been witnessing a trend of price hikes. Other carmakers like Citroën and Jeep have also announced a price hike of up to 2 percent from January. Stellantis India, the parent company of Citroën and Jeep, has offered an opportunity to benefit from the existing pricing structure and attractive end-of-the-year offers until December 31, 2024. Tata Motors, another major player in the Indian auto industry, has also announced a price hike from January 2025. The company recorded total retail sales of 42,176 units in November 2024, marking a decline of 12,747 units as compared to November 2023.
The auto industry is also witnessing a significant shift towards electric vehicles. The new car market is changing significantly, with more electric cars gradually growing their market share while petrol and diesel cars are reducing in number. This shift is being forced by the government’s zero-emission vehicle mandate, which sets minimum targets for electric vehicles from all major car brands.