TVS Motor and Hyundai Partner to Develop Electric Three-Wheeler Solutions for Indian Market
TVS Motor Company Limited and Hyundai Motor Company have formalized a strategic partnership by signing a Joint Development Agreement (JDA). The agreement aims to advance the development and commercialization of innovative Electric Three-Wheeler (E3W) solutions, specifically designed to address last-mile mobility needs across India and other markets.The collaboration is centered on the development, manufacturing, and commercialization of electric micromobility 3-wheelers, which include various versions and variants.
Scope of Collaboration and Market Strategy
Under the JDA, the companies will pool their complementary strengths. Hyundai Motor Company will lead the design and co-develop the E3W by leveraging its research and development expertise, advanced mobility technologies, and human-centric design approach. Simultaneously, TVS Motor will utilize its leading-edge electric platform, extensive three-wheeler engineering expertise, and deep local market knowledge to co-develop the product.The E3W will be engineered to tackle unique Indian mobility challenges, including adaptive ground clearance for monsoon-affected roads, enhanced safety features, and ergonomic design suitable for extended commutes.
Both companies commit to building the first vehicle in India, the world's largest three-wheeler market, under the terms of the JDA. A core component of the partnership involves localizing component manufacturing, with major components to be sourced and manufactured within India. This strategic approach aims to strengthen the domestic automotive supply chain and ensure rapid after-sales support.
Sharad Mishra, President, Group Strategy, TVS Motor Company, commented on the development, stating, "This Joint Development Agreement marks an important step in our partnership with Hyundai Motor Company... By bringing together complementary strengths including our electric three-wheeler platform, engineering expertise, and deep understanding of customer needs - we are well-positioned to deliver purpose-built products for India and additional markets."
Key Terms and Operational Details
The Joint Development Agreement sets out the specific terms governing the arrangement between the parties. Key operational details include:| Particulars | Details |
|---|---|
| Entity Partner | Hyundai Motor Company ('HMC'), incorporated under the laws of the Republic of Korea. |
| Product Scope | Electric micromobility 3-wheelers ('Products'). |
| Scope of Operations | (1) Design and development of the Products; and (2) Manufacturing, marketing, sales, and distribution of the Products. |
| Market Focus | International entity - Republic of Korea. |
| TVS Role (India) | TVS will have the exclusive right to sell and distribute the Products in India and other territories agreed in the JDA. |
| HMC Role (Korea) | HMC will have the exclusive right to sell and distribute the Products in Korea and other territories agreed in the JDA. |
| Design Leadership | HMC will lead the concept design of the Products, and the parties will jointly develop the Products, with each Party leading the development phases to be undertaken by it. |
| Financial Consideration | TVS will pay HMC, per-unit mutually agreed royalties for sales in India. HMC will pay TVS mutually agreed compensation and royalties for sales in Korea. |
| Contract Term | The Agreement does not have a specific term and will continue until termination. |
Company Profiles
Hyundai Motor CompanyEstablished in 1967, Hyundai Motor Company operates in over 200 countries. The company is transforming into a Smart Mobility Solution Provider, investing in advanced technologies like robotics and Advanced Air Mobility (AAM). It continues efforts to introduce zero-emission vehicles with industry-leading hydrogen fuel cell and EV technologies. The company's registered office is at Heolleung-ro 12, Seocho-gu, Seoul, Republic of Korea. HMC's consolidated revenue for the year ended 31 December 2025 was 186,254,472 million Korean.
TVS Motor Company Limited
TVS Motor Company is a globally reputed two and three-wheeler manufacturer. The company operates with a 100-year legacy of trust, value, and passion for customers. TVS Motor has four state-of-the-art manufacturing facilities located in India and Indonesia.
TVSMOTOR Stock Price Movement
Today, TVS Motor Company Limited shares edged higher to close at ₹3761.9, representing an 0.84% gain for the day. The stock saw notable investor activity, settling on a total volume of 724,613 shares today.Source:
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