Hyundai has showcased the potential of its upcoming high performance division with the reveal of the third-generation RM concept at the Busan motor show in South Korea.

The mid-engined hatch, dubbed RM16, debuts a range of new technologies and visual highlights that could provide a glimpse at what the company's imminent hot hatch, the i30 N, may feature to distinguish it from the mainstream suburban runabout.

While Hyundai says the concept has no relationship to a production model, it admits the RM16 acts as a test bed in the development of the company's high-performance technologies.

"RM models will continue to play an important role as the rolling lab in the development of our future high-performance N models," said the head of Hyundai's vehicle test and high-performance development, former BMW M boss Albert Biermann.

Hyundai RM16 concept Photo: Supplied

The three-door hatch features wide wheel arches that take inspiration from the brand's World Rally Championship racer, as well as an electronically-controlled roof-mounted rear spoiler and a wide air intake with a wing-style splitter in the front bumper.

With Hyundai featuring some of these elements on a prototype of the i30 N at last weekend's Nurburgring 24-hour race, it is likely the RM16 previews a few design cues that will be signatures of the N division.

Uniquely, the concept car is powered by a mid-mounted 2.0-litre engine with an electric supercharger that produces 220kW and drives the rear wheels through a six-speed manual gearbox with an electronic limited slip differential. Hyundai says it also has an electronically-variable exhaust system "which provides a powerful tone to match the sense of acceleration."

Hyundai RM16 concept Photo: Supplied

It has yet to provide any details of what mechanical link these may have with the i30 N, but it is understood the hot hatch will feature a turbo charged engine that produces around 180kW as well as a high-tech differential developed in-house that ensures it delivers maximum power without the usual bug bears of torque steer that afflict high-powered front drivers.

The car is also built around an aluminium space frame with carbon fibre reinforced plastic panels to keep its weight down, the latter of which could be used on the production model.

While the South Korean car maker has yet to confirm whether its RM concepts are ever intended to become production models, Hyundai Australia spokesman Bill Thomas told Drive the local division would offer any support it could to help justify the investment.

"We would gladly join a chorus of support from other global markets to push for this exciting concept to make it into production," he said.

"I don't think we're alone in that desire, as it would be an exciting halo that showcases the capabilities of the N division."

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Hyundai RM16 concept Photo: Supplied