Hyundai rules out diesel engine for i10

Cites falling popularity of diesel engine as a reason

Korean car brand Hyundai is not keen on extending the all-new small diesel engine seen on the Grand i10 to the existing i10, a senior executive of the company has stated.

Hyundai Motors India launched the Grand i10 on Tuesday with a 1.1 litre diesel engine, the smallest in its line-up. Though the Grand i10 is an all-new car with a new platform, it shares the brand name with the regular i10, which is also one of India's best selling compact hatchback.

"There are no plans to share the 1.1 litre diesel engine with the i10", said Nalin Kapoor, senior general manager and group head marketing, Hyundai Motor India.

The regular (and cheaper) Hyundai i10 comes with the LPG option besides the common 1.2 litre and 1.1 litre petrol engines.

One of the reasons for not extending the diesel engine to the i10 is the falling popularity of diesel models in India. Buyers are preferring petrol variants due to its cheaper price tags and lower maintenance costs.

"Six months back we saw the recovery of petrol variants and this should be sustained", added Kapoor. From a ratio of 85:15 in favour of diesel about a year ago, petrol models now account for more than 50% of sales in the domestic market.

Hyundai has the capacity to make 3,00,000 engines per annum at its Chennai facility. This plant is flexible and makes petrol and diesel engines on the same line.