Hyundai, Kia US Sales Soar on Hybrid Demand, EV Slump
Hyundai Motor Group set a US sales record in July as demand for hybrids surged while electric-vehicle sales plummeted. The group's combined sales rose 5% to 165,284 vehicles last month, with both Hyundai and Kia setting July sales records.
Hyundai's sales increased by 3.7% to 89,427 units, including its luxury Genesis brand, while Kia's sales grew by 6.7% to 75,857 units. The Tucson was Hyundai's best-selling model, with sales rising 20.2% to 19,714 units.
Kia's SUVs led the growth, with Sportage sales climbing 11.7% to 16,083 units and Telluride sales increasing by 13.5% to 11,816 units. Sales of the Carnival minivan surged 22.8% to 7,279 units.
The combined sales of electrified vehicles reached 50,937 units, up 24.7% from a year earlier, but this growth came almost entirely from hybrids. Hybrid sales soared 52.2% to 43,727 units, with Hyundai selling 22,733 hybrids and Kia's hybrid sales jumping 76.6% to 20,994 units.
However, EV sales declined sharply following the expiration of the $7,500 consumer tax credit under the US Inflation Reduction Act. Combined EV sales plummeted 40.5% to 7,210 units, with Hyundai's falling by 46.1% to 4,545 and Kia's declining by 27.7% to 2,665.
Industry observers believe that Hyundai Motor Group could gain ground as Ford Motor, General Motors, and Stellantis scale back their EV ambitions. Automotive engineering professor Lee Ho-geun stated that the US automakers 'seem to be more focused on cost-cutting schemes to defend their margins.'