Despite the negative headlines about electric vehicle sales in 2023, Korea’s Hyundai Motor Group has emerged as a bright spot amidst this narrative. While the EV market faced challenges such as uneven purchasing, questions over demand, and software and public charging issues, Hyundai’s data from last year shows that their strategy of producing some of the world’s best EVs at competitive price points is paying off. This trend is expected to continue to accelerate in 2024.
According to a new report from BloombergNEF, Hyundai and Kia together made up more than 8% of the new EVs sold in the U.S. last year. This means that Hyundai Motor Group outpaced General Motors and Ford at EV sales, securing the company as the number two automaker in the U.S. behind Tesla. Their success is attributed to their all-in approach to EVs, which includes producing outstanding EVs and incorporating tech and features that cater to American consumers.
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2023’s narrative on EV sales
Dealers, executives, and even some fed-up owners helped feed a narrative that EV sales were faltering last year, even as a number of brands reported record sales numbers. But Hyundai, Kia, and Genesis seem to be bright spots in the electric world.
“Hyundai’s EVs stand out thanks to their impressive charging power and efficiency,” BloombergNEF EV analyst Corey Cantor wrote. “The Ioniq 5 can utilize 350-kilowatt chargers, while the Ioniq 6 is one of the most efficient EV sedans currently on the market, with an Environmental Protection Agency–rated efficiency of 4.6 miles per kilowatt-hour. Kia’s electric cars have also had a strong year, with the EV9, the new three-row SUV launched in December, hitting over 1,000 units sold in just one month.”
All of this is made even more impressive considering almost none of Hyundai Motor Group’s EVs qualified for any tax credits last year. Despite this, the automaker saw a great deal of sales success, particularly in the leasing sector. InsideEVs will issue our own sales reports on Hyundai, Kia, and Genesis EV sales in the coming weeks, adding more weight to BloombergNEF’s findings and predicting that Hyundai is on its way to be considered on par with Tesla and BYD as a global power player in the EV market.
However, some questions remain about the profitability of Hyundai’s EVs and whether these sales milestones align with the company’s internal targets. Nonetheless, Hyundai Motor Group’s success clearly indicates that it deserves recognition for its achievements in the electric vehicle sector.
Contact the author: patrick.george@insideevs.com