The aftermath of the US Inflation Reduction Act, which raised concerns over the controversy over discrimination in subsidy payment for Korean electric vehicles, is becoming a reality in the US market.
Hyundai Motor Group's electric vehicle sales in the US in September after the Inflation Reduction Act came into effect in earnest in September compared to the previous month, it was counted on the 3rd (local time).
Hyundai Motor America Sales Corporation (HMA) announced on the same day that it sold 1,306 EV Ioniq 5 units in September.
This is a decrease of 211 units (14%) from the 1,517 units sold in August.
It decreased by more than 30% from 1,984 units (including IONIQ) in July.
Kia's electric vehicle EV6 also sold 1,440 units in September.
This is a decrease of 400 units (22%) from 1,840 units in August.
The EV6 sold 1,716 units last July.
The Inflation Reduction Act was promulgated on August 16, after US President Joe Biden signed it and came into effect immediately.
The law stipulates that a subsidy of up to $7,500 (approximately 10 million won) in the form of tax credits only for electric vehicles that are finally assembled in the United States.
Since both Hyundai Motor's Ioniq 5 and Kia's EV6 are produced in Korea and exported to the US, they were excluded from subsidy payments.
Hyundai Motor, which is building an electric vehicle plant in Savannah, Georgia, is expected to complete the plant only in 2025.
Moreover, as the Joe Biden administration and the Democratic Party, ahead of the midterm elections in November, widely publicize the inflation-reduction law as a major legislative achievement, it is starting to become known to US consumers as well, so we cannot rule out the possibility that the damage to Hyundai Motor and Kia will increase for the time being. .
Meanwhile, unlike the electric car situation, the total number of cars sold in the US market by Hyundai and Kia in September continued to increase compared to the same month last year.
Hyundai sold 59,465 units in the United States in the past month, an 11% increase over the same period a year ago.
The Tucson sold the most with 12,971 units, up 31%, while the Santa Fe sold 9,192 units, up 40%.
Cumulative sales volume for the third quarter was 184,431 units, an increase of 3% from the same period last year, the highest performance as of the third quarter.
Kia sold 56,270 units in September, up 6% from the same month a year earlier.
It is the highest-selling September ever.
The sales volume from July to September (184,808 units) also recorded a record high as of the third quarter.
The Sportage was the most popular with 12,412 units sold, an increase of 88% from last year, and the Sorento also sold 7,350 units, an increase of 79%.
(Photo = provided by Hyundai Motor Group, Yonhap News)