Hyundai Motor Company and TVS Motor Company Limited have established a strategic collaboration to design, develop, manufacture, and distribute electric three-wheelers (E3Ws) across India and the rest of the world. This collaboration addresses a key market segment that requires efficient last-mile commercial transportation. With Hyundai’s expertise in global technology and design, together with TVS’ knowledge of the local market and manufacturing capabilities, this partnership is geared towards accelerating the transition to electric three-wheelers in India’s rapidly growing and highly competitive market.
Details of the Partnership:
Hyundai Motor Company and TVS Motor Company have entered into a joint development agreement to design, manufacture, and distribute electric three-wheelers (E3Ws) targeted at the Indian market.
This partnership seeks to drive the adoption of electric vehicles in the Indian commercial transport industry by addressing the important last-mile segment.
The alliance will help in planning and development of localized E3Ws that were showcased as a concept at the Bharat Mobility Global Expo 2025. In this regard, Hyundai will be responsible for designing the vehicle using its advanced mobility technologies and expertise in vehicle design. On the other hand, TVS will provide its electric platform, three-wheeler vehicle engineering know-how, and market expertise in India.
TVS will be responsible for manufacturing and selling the products locally. Such a move will enable quick product rollout into the market. This partnership is part of the strategy by TVS Motor Company whose sales of electric vehicles rose by 59 percent during April 2025 to enter more markets. Additionally, Hyundai is interested in expanding its reach in India, a key global market for the company. The company’s share price stood at ₹3,545 per share on April 28, 2026, with a P/E ratio of approximately 61.3.
Market Landscape and Competitiveness:
The two firms’ alliance focuses on the growing Indian E3W market. The segment accounts for over 580,000 units sold in 2023, representing more than half of total three-wheelers sold in the country, up 66 percent from the previous year.
Competitors are already present in the industry. The company, Mahindra, enjoys an estimated 52 percent share in the E3W segment. As for Bajaj Auto, the firm intends to manufacture 40,000 units monthly for their new product line. Mahindra’s Treo can run for about 110 kilometers, while the more recent UDO can cover up to 200 kilometers. Meanwhile, prices generally range from ₹2.0 lakh to ₹3.5 lakh. In terms of their competition, the GoGo product line of Bajaj offers ranges of up to 251 kilometers, while Ola Electric enters the market with their Raahi product.
The partnership between Hyundai and TVS seeks localization. By merging their strengths in engineering and manufacturing, they aim to create vehicles suitable for Indian roads and conditions, including economy-friendly options.
