Kia recently announced plans to introduce more hybrids alongside affordable EV models in response to slower than expected EV demand in the market. This strategic move aims to bolster sales and counter the competition from low-cost Chinese automakers. The new lineup of affordable electric vehicles is set to make its debut starting this year.
Following a 2% global sales drop last month, Kia unveiled a mid-to-long-term business plan at its 2024 CEO Investor Day that emphasizes electrification. The company is adjusting its electric vehicle strategy to incorporate a greater focus on hybrids and cost-effective EVs.
Since its rebranding in 2021, Kia has seen significant changes in its product offerings, design aesthetics, and marketing campaigns.
Kia’s president, Song Ho-Sung, mentioned that the company is adapting to the evolving automotive market landscape through a new strategic approach to address competitive pressures and global uncertainties.
Anticipating a deceleration in EV demand growth, Kia plans to roll out more hybrid models and introduce new budget-friendly electric vehicles to stay ahead in the market.
Kia estimates a slower EV growth rate until 2026 due to global economic challenges and reduced subsidies.
Kia to strengthen lineup with new hybrids, affordable EVs
Kia is set to release hybrid versions of its popular models like the Carnival HEV, which debuted last year. The company has ambitious plans to expand its hybrid lineup to six models this year, eight by 2026, and nine by 2028.