Hyundai US EV Sales Surge 40% in March as Gasoline Prices Rise

Gate News message, April 27 — Hyundai Motor's US electric vehicle sales jumped approximately 40% in March compared to February, driven by rising gasoline prices despite the company's ineligibility for federal EV tax credits.

The Ioniq 5 led the surge with 4,425 units sold in March, up from 3,234 in February, while the Ioniq 9 climbed to 905 units from 505. Average US gasoline prices reached $4.099 per gallon in March, up 30% year-over-year, according to AAA data. Hyundai's US EV market share expanded to 6% in the first quarter from 5.6% a year earlier. In comparison, Tesla's US EV sales fell 8.4% to 117,300 vehicles during the same period, according to Cox Automotive estimates.

Since Hyundai models do not qualify for the federal electric vehicle tax credit, the company offers a $7,500 cash incentive or equivalent lease discounts to customers. Hyundai is also accelerating construction of its Georgia EV manufacturing facility, with 2025 Ioniq 5 production scheduled to begin in the fourth quarter of 2024 as the company pursues eligibility under the Inflation Reduction Act.