Hyundai Alcazar Crosses 100,000 Units 55 Months After Launch, Sees Lowest Sales in December

The Alcazar, Hyundai Motor India’s flagship SUV, has surpassed the 100,000 sales mark in the domestic market, four-and-a-half years after its launch in June 2021. The 100,000 milestone was achieved in December 2025, which also saw the Hyundai Alcazar register its lowest monthly wholesales (factory dispatches) yet: 579 units. A month before, in November 2025, 840 units were dispatched from the Chennai factory to dealers which indicates the model’s growing inventory in showrooms is being trimmed. 

Hyundai Motor India, which has been the longstanding midsize SUV market leader with its Creta, launched the Creta-based Alcazar to tap the growing segment of family buyers keen on a modern, stylish and feature-rich six- and seven-seater SUV which is high on space and comfort, and safety equipment. However, after a decent market response in the first two years (FY2022 and FY2023), the company’s expectations of higher sales from the Alcazar have been belied.

As per apex industry body SIAM’s wholesales data, from launch till end-December 2025, a total of 100,106 Alcazar SUVs were sold in India and another 40,803 units exported. This makes for combined sales of 140,909 units, leaving an inventory of 2,515 units considering total Alcazar production from the Sriperumbudur plant is 143,424 units (see data table below). 

Following two fiscals of over 25,000-unit sales, demand for the Alcazar fell sharply. In FY2026’s first nine months, the 9,631 units are down 27% YoY with December 2025 (579 units) being a new low.

In September 2024, Hyundai Motor India launched the facelifted Alcazar which sports much-revised exterior styling and new interiors, benefits from a host of new features as also an ADAS suite. This was a move designed to rev up this midsize SUV’s sales but that did not happen.

FY2023 remains the Alcazar’s best fiscal year yet – 38,394 units produced (up 34% YoY), 26,696 units sold in India (up 3.1% YoY) and 11,334 units exported (up 292% YoY). However, since then, demand in both the domestic and export markets has fallen. FY2024 (20,753 units) was down 22% YoY and FY2025 (17,132 units) was down 17% YoY in India. In the current fiscal’s first nine months, the 9,631 units are down 27% YoY (April-December 2024: 13,127 units). 

Among the reasons for the dampened customer response is the heightened competition in the midsize SUV segment. The Alcazar is essentially a three-row SUV positioned between the Creta and the now-discontinued Tucson in Hyundai Motor India’s lineup and competes with rivals like the Mahindra XUV700, Tata Safari, MG Hector as well as the Toyota Innova Hycross and the Kia Carens Clavis. In the April-December 2025 period, the category-leading XUV700 has sold 57,986 units compared to the Alcazar’s 9,631 units. 

With an ex-showroom priced between Rs 14.50 lakh and Rs 21.06 lakh, the Alcazar has 19 variant options spread across Executive, Corporate, Prestige, Platinum, Signature trims and the special Knight Edition, available in both 6-seater (captain seats) and 7-seater layouts. The powerplants on offer are a 160hp 1.5-litre turbo-petrol engine paired with a 6-speed manual or 7-speed DCT, and a 1.5-litre diesel engine that develops 116hp with 6-speed manual or automatic transmission. Depending on the variant, the Alcazar’s mileage ranges between 17.5 kilometres per litre and 20.4kpl. 

CY2026, which is billed as the year of the midsize SUV, will see the Alcazar witness new and enhanced competition what with a flurry of new models as well as updated rivals to be launched in India. Also, with Hyundai’s new product plan for CY2026, which incudes the Bayon compact SUV, facelifted Exter, Ioniq 5 and Verna but not the Alcazar could mean that this midsize SUV may not benefit from the growing demand for midsize SUVs which are taking the battle into the compact SUV segment’s camp. 

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