Kia Motor India is working on a new “compact lifestyle SUV” that will launch sometime in 2025. The upcoming compact SUV (codenamed – Kia AY) will be offered with petrol and electric powertrain options. According to media reports, the development of this compact SUV has already commenced.

The petrol variant of the new Kia compact SUV will likely get a 1.0L turbocharged petrol engine based on the Sonet’s drivetrain. Similarly, the higher-end EV variants of the Kia AY could get an additional electric motor at the rear axle to give it 4WD capabilities.

According to sources, the upcoming EV SUV will be based on a flexible platform and will focus on all emerging markets. The same model could also serve as a base for a mass-market entry-level petrol SUV to keep the development costs low.

The petrol version of the Kia AY compact SUV is expected to have a higher share in the model’s overall sales volumes. The carmaker aims to sell 1 lakh units annually out of which 80% would be the petrol version and the rest would come from the EV derivative (including RHD units of export markets).

The Kia AY will be a sub-4 meter SUV that is expected to be positioned between the Sonet and Seltos in the brand’s line-up.

(Representational Image)