Hyundai Santro
Hyundai SantroPR handout

It was reported that Hyundai has started working on a new car project, which is internally called AH, with crossover body to rival Renault Kwid. The new car is expected to hit the market by the second half of 2018. A MotorOctane report says the new model in the making will be called the Santro. The publication previously reported the return of the Santro name plate in Hyundai line-up as new entry level car.

The publication says the new Santro with crossover looks will be launched in 2018, after 20 years of company's first car launch in India, which is interestingly the discontinued Santro. The new Santro with crossover attributes is expected to be positioned below to the current most affordable Hyundai car, the Eon. The Korean car-maker estimates potential sales of 95,000 to one lakh units per year for the new product.

The new Santro will be based on a new platform that will be shared by the company for the Kia brand as well. The car will be powered by either 800cc engine or a 1.0-litre engine, both will be highly frugal. Being a rival for the Kwid, the new Santro will also boast of segment leading features.

Apart from the new Santro, Hyundai is also working on a compact SUV for India, due for 2018. The company will launch the Tucson SUV and the new Elantra sedan in 2016.