Hyundai Motor India is gearing up to produce a new 800cc car, supplier sources have said.

Partsmakers were told HMIL would introduce a 0.8-litre car with a starting price of INR250,000 (US$5,470), executives at two component makers told Dow Jones.

Production of the petrol car, codenamed HA800, would start in early September the unnamed executives said.

“Hyundai has asked us to start supplying parts for the model by the last week of August,” one of the executives said. He didn’t elaborate on the planned volumes for the small car that will cost less than the Santro hatchback, currently the cheapest car in Hyundai Motor India’s line.

The Santro, with 1.1-litre engine, starts at INR280,897 in New Delhi.

The Santro is the latest in a Hyundai line, also known as the Atoz, Atos and Amica, which dates back to 1997 with a redesign in 2003, and now sold only in emerging markets. Elsewhere it has been replaced by the i10, which is also made and sold in, and widely exported from India. The Santro’s family line has been offered with an 800cc engine in the past.

Arvind Saxena, director for sales and marketing at Hyundai Motor India, declined to comment.