Summary
- Hyundai Ioniq 5, Ioniq 6, and hybrid versions of Tucson and Santa Fe had record sales in January 2024
- Kia EV9 sales declined slightly, but EV6 reached new heights
- Hyundai and Kia’s electrified models are not significantly impacted by Trump’s tariffs
- Hyundai was America’s second best-selling EV automaker in January 2024
- Hyundai and Kia offered attractive lease and financing options for EVs, and Hyundai began selling EVs on Amazon
Article
The Success of Hyundai and Kia’s Electric and Hybrid Vehicles in January 2024
Hyundai and Kia have had a successful start to the year 2024, with electrified models from both brands performing exceptionally well in January. The Hyundai Ioniq 5, Ioniq 6, and hybrid versions of Tucson and Santa Fe achieved record sales numbers, making it the best January ever for these models. While Kia EV9 sales saw a slight decline, the EV6 reached new heights in terms of sales. One key factor contributing to the success of Hyundai and Kia’s electrified models is their relative immunity from Trump’s tariffs, as most of these vehicles are manufactured in the U.S. or South Korea.
Hyundai Motor Group’s Sales Performance in January
In January 2024, the Hyundai Motor Group emerged as America’s second best-selling electric vehicle automaker. Despite facing regulatory challenges under the new Trump administration, the Korean automaker continued to maintain its sales momentum. Hyundai’s overall sales increased by 15% in January, with a total of 54,503 units sold. The sales of electrified vehicles, including hybrids, plug-in hybrids, and fully electric models, saw a significant increase of 41% compared to the same period last year. The Ioniq 5 electric crossover remained the brand’s top-selling EV, with a 54% increase in sales.
Growing Popularity of Hybrid Models
While the electric models performed well, the biggest growth in sales came from Hyundai’s hybrid vehicles. The Santa Fe Hybrid witnessed an impressive 160% growth in sales, while the Tucson Hybrid saw an 89% increase. Although specific sales numbers for hybrids are not disclosed by Hyundai, they contributed significantly to the overall growth of electrified vehicles for the brand. Gas-powered SUVs continued to be the best-selling models for both Hyundai and Kia, but hybrids are gaining traction and forming a larger share of total sales for both brands.
Factors Contributing to the Record Sales Month
Several factors may have contributed to Hyundai and Kia’s record-setting sales month. Both brands have been offering attractive lease and financing options on their EVs, making them more accessible to consumers. For example, the 2025 Ioniq 5 can be leased for as low as $199 per month for 24 months with $4,000 due at signing. Additionally, Hyundai EVs can now be purchased on Amazon, making the buying process as convenient as purchasing any other household item online.
Regulatory Uncertainties and Tariff Exemptions
Despite the successful start to the year, Hyundai and Kia may face challenges in 2024 due to regulatory uncertainties around the $7,500 federal tax credit for electric vehicles. However, the automakers’ EV, hybrid, and PHEV sales are expected to be mostly immune from the 25% tariffs imposed by Trump on items imported from Mexico and Canada. With the majority of components for Hyundai and Kia’s electrified models sourced from the U.S. or Korea, the impact of these tariffs is minimal.
Conclusion
In conclusion, Hyundai and Kia have had a strong start to 2024, with their electric and hybrid vehicles achieving record sales in January. Despite regulatory challenges and uncertainties, the Korean automakers have been able to maintain their sales momentum and offer attractive options to consumers. With a focus on electrification and a range of successful models in their lineup, Hyundai and Kia are well-positioned to continue their growth in the electric vehicle market.
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