Hyundai Motor Group, including Kia and Genesis, is taking the US EV market by storm this year. After reaching double-digit market share, Hyundai continued closing the gap with Tesla as the second-largest EV brand in the US through July.
Hyundai, Kia, and Genesis take second in US EV market
Through the first seven months of 2024, Hyundai, Kia, and Genesis accounted for 10% of the US EV market. Hyundai outpaced Ford (7.4%) and GM (6.3%), according to Motor Intelligence.
Tesla’s share of the US EV market slipped below 50% for the first time in the second quarter. Tesla accounted for 49.7% of EV sales in the US in Q2 as new models hit the market.
Although IONIQ 5 and 6 sales slipped last month, they are still up 25% and 54% year-to-date, respectively. Meanwhile, sister company Kia continued its record-setting performance in July after EV sales nearly doubled YTD.
Kia’s new EV9, its first three-row electric SUV, is a major part of its growth. According to Kelley Blue Book, Kia EV9 sales outpaced the Toyota bZ4X, VW ID.4, Nissan Ariya, Rivian R1T, and Tesla Model S in the US through the first half of 2024. It even topped Kia’s Niro EV sales.
Hyundai’s luxury brand, Genesis, remains a dark horse in the US EV market. Genesis is quickly expanding in the US.
After adding 21 dedicated retailers in the US this year, including in eight new states, Genesis recently announced it now has 56 standalone facilities.
“In two short years, Genesis’ retail footprint has grown rapidly from one dedicated retail facility in Louisiana to 56 retail facilities nationwide,” Genesis North America COO Claudia Marquez said.
Hyundai, Kia, and Genesis continue gaining ground in the US with some of the most affordable, fuel-efficient EVs on the market. Hyundai and Kia account for eight of the top ten most fuel-efficient EVs in the US in 2024.
New EV models, Metaplant opening to drive growth
Hyundai Motor and its suppliers are investing heavily in the US, its largest sales market (North America). The company is opening its Hyundai Motor Group Metaplant America (HMGMA) later this year in Georgia.
Hyundai invested around $7.6 billion, creating around 8,500 jobs. However, with its suppliers, the Metaplant is expected to attract over $12.6 billion in funding.
According to the Center for Automotive Research (CAR), it’s also expected to establish over 50,000 new positions in the state.
Georgia awarded the automaker with its own “Hyundai Day” on February 26, 2024. Hyundai has been fast-tracking construction to enable EVs made at the plant to qualify for the $7,500 tax credit.
Hyundai has been passing the credit on through leasing, which accounts for 60% of its EV lineup. Although the battery portion with LG Energy Solution isn’t expected to come online until the end of 2025, Hyundai is expected to source batteries from its Hungary plant in the meantime.
A second battery plant with SK On in Bartow County, GA, will supply batteries for Hyundai’s Montogomery, AL, where the Genesis Electrified GV70 is built, and Kia’s West Point plant, where the new EV9 is built.
Kia began EV9 production in GA in May. It will be the first model to qualify for the credit, with deliveries of the US-made EV9 set for October.
Until then, Kia is offering massive discounts on the EV9. According to Motor Intelligence, Kia EV9 discounts reached over $18,000 in June.
The Metplant is expected to open its doors in October. Hyundai’s new updated 2025 IONIQ 5 will be the first to roll off assembly.
Hyundai is also expected to unveil its first three-row electric SUV, the IONIQ 9. The larger Hyundai electric SUV is expected to be built at the facility to qualify for the EV tax credit.
Top comment by Beario
I am not at all surprised. Whenever you hear new about Hyundai, it is hardly ever negative because they have been putting in the work to get better. The Ioniq 5 is great and then they came out with the 5N which I think is another hit. the Ioniq 6 was okay, but they listened to consumers and fixed the things people didn't like for the upcoming model update. Thats saying a lot in a market where some carmakers think they can just release something and people will buy it. Here's looking at you Toyota and Subaru for that BZ4X and Solterra. The companies that take consumers seriously will succeed. I've seen great examples from Hyundai and Kia. I am sure there are others, but keep it coming.
Meanwhile, Genesis is also preparing to launch its flagship electric SUV. The ultra-luxury Genesis GV90 is expected to expand the brand upward to rival Rolls Royce and Bentley.
With new models rolling out and the Metaplant opening later this year, Hyundai will be a brand to keep an eye on in 2025.
Update 8/20/24: Hyundai is expected to launch an electric Santa Fe SUV and new EV pickup for the US, but it may not be what you expect (read more here).
Source: Automotive News
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