Hyundai Motor Co. and its smaller affiliate Kia Corp.’s electric vehicle (EV) sales rose 5.9 percent in the United States during the January-June period from a year earlier amid accelerating electrification, an industry association said Sunday.
Hyundai and Kia sold a combined 46,826 EV models in the first half in the world’s most important automobile market, up from 44,233 units a year ago, the Korea Automobile & Mobility Association (KAMA) said in a statement.
EVs include battery electric vehicles (BEVs), plug-in hybrid electric vehicles (PHEVs), and hydrogen fuel-cell electric vehicles (FCEVs).
But the two South Korean carmakers’ market share in the U.S. EV market fell to 7 percent in the first six months from 10.5 percent a year ago, the statement said.
Helped by an improved chip supply and new model launches, a total of 655,699 EVs — 530,182 BEVs, 123,690 PHEVs, and 1,827 FCEVs — were sold in the U.S. in the first half.
It was up 25 percent from 423,656 units sold a year ago, KAMA said, citing data from Ward’s Auto Intelligence.
Two all-electric Korean models — Hyundai’s Ioniq 5 and Kia’s EV6 — made it to the 10 bestselling EV models in the U.S. in the first half.
The eight others are Tesla Inc.’s Model Y, Model 3 and Model X, General Motors Co.’s Bolt and Bolt EUV, Volkswagen Group’s ID.4 SUV, and Ford Motor Co.’s Mustang Mach E SUV and F Series light pickup truck.
From January to June, Hyundai and Kia’s overall vehicle sales, including EVs, jumped 17 percent on-year to 820,180 autos from 702,875 a year earlier.
The Inflation Reduction Act (IRA), signed into law by U.S. President Joe Biden in August, has emerged as a major obstacle for Hyundai Motor Group’s EV sales in the U.S.
The IRA gives up to US$7,500 in tax credits to buyers of EVs assembled only in North America, sparking concerns that Hyundai Motor and Kia could lose ground in the U.S. market, as they make most of their EVs at domestic plants for export to the U.S.
In response to the IRA, the Korean automotive group is building its dedicated EV and battery plant in Georgia with an aim to start production in the first half of 2025.
Early this year, Hyundai Motor began to produce the all-electric GV70 SUVs under its independent Genesis brand at its Alabama plant.
Hyundai and Kia together form the world’s third-largest carmaker by sales after Toyota Motor Corp. and Volkswagen Group.
