Kia’s flagship electric sports utility vehicle (SUV), the EV9, has made waves in the U.S. market, one of the largest car markets globally. The EV9 reached over 10,000 cumulative sales in just seven months. Despite a slowdown in domestic sales due to a temporary lull in demand before mass adoption, Kia is aggressively expanding into the U.S. market. They began local assembly production of the EV9 in late May. Meanwhile, Hyundai plans to accelerate its electric vehicle (EV) strategy by starting mass production at a new EV plant in Georgia in October.
Industry sources reported on the 9th that Kia’s EV9 cumulative sales amounted to 17,940 units as of the end of June this year. The EV9, which launched in the U.S. in December last year, quickly surpassed 10,000 cumulative sales within seven months. This contrasts sharply with its domestic sales in South Korea, which totaled only 1,225 units in the first half of the year.
The EV9’s product competitiveness has been proven by its selection as the World Car of the Year at the 2024 World Car Award. It also won World EV of the Year. As positive word-of-mouth spread, local demand surged, prompting Kia to increase production.
Initially, all units sold in the U.S. were manufactured in Korean factories. However, Kia invested $200 million to start production at the West Point plant in Georgia, which also produces other models like the Telluride, Sorento, and Sportage. As a result, U.S. sales of the EV9 are expected to increase further in the second half of this year. Although the EV9 hasn’t yet benefited, it is now eligible for a maximum tax deduction of $7,500 under the Inflation Reduction Act (IRA), which is expected to be beneficial in the future.
Hyundai plans to start mass EV productions including the Ioniq 5, at the Hyundai Motor Group Metaplant America (HMGMA) in Bryan County, Georgia in October this year. They also aim to produce the flagship electric SUV Ioniq 9 (tentative name), which it aims to launch within this year at the HMGMA. Both models are expected to benefit from the IRA.
Like the EV9, the Ioniq 9 is designed on the EV-specific platform E-GMP and is being developed to drive more than 310 miles on a single charge. An industry insider said, “While the EV chasm continues in Korea, the growth trend continues in the U.S. market,” adding, “Reflecting the market preference for large cars, it is understood that Hyundai and Kia plan to increase local production centered on mid-to-large electric SUVs such as the Ioniq 9, following the EV9.”
