Hyundai will launch a rear-drive compact sports sedan in the Australian market in 2017 possibly powered by the company’s 510Nm 3.3-litre twin-turbocharged V6 engine.

The ‘Genesis’ nameplate will next year become Hyundai’s sports-luxury sub-brand, with a facelifted version of the current Hyundai Genesis large car set to be renamed Genesis G80. But that isn’t the exciting part.

The rebranding paves the way for the Genesis G70 – a 3 Series-sized compact rear-drive sedan tipped for global debut at January’s Detroit motor show – to arrive in the second half of next year just as Holden turns off the local taps for VF Series II Commodore.

Hyundai Genesis G90 chassis

“Next year the N sub-brand will apply to a range of products, one of them will be i30 [hot-hatch] and one will be across the Genesis range,” Grant told MOTOR.

“It will be our go-fast range. There will be some N products on Genesis, no doubt. I believe the new model the G70, the 3 Series type product, will be the first vehicle to move forward.

Twi-turbo -Hyundai sports sedan rear

Hyundai last year debuted a brand new 3.3-litre twin-turbocharged V6 engine in its US-only Genesis G90 limousine (pictured), producing 272kW at 6000rpm and 510Nm across a 1300rpm to 4500rpm spread, driving the rear wheels through an eight-speed automatic.

A 313kW/519Nm 5.0-litre naturally aspirated V8 engine is also in the South Korean brand’s G90, but is less likely for the compact sedan.

Hyundai v8 engine

“Next year will be a very exciting year,” Grant added, before answering whether Hyundai’s Australian engineers are excited to be able to tune a rear-drive sports sedan.

“Oh yeah, absolutely, they are involved in every product we have access to.”