Hyundai Motor US EV sales rise 40% as gas prices climb

Hyundai Motor saw its US electric vehicle sales rise about 40% in March from February.

Analysts linked the gain to higher gasoline prices despite the loss of federal EV subsidies.

The Ioniq 5 led March sales with 4,425 units, up from 3,234 in February, while the Ioniq 9 rose to 905 units from 505.

AAA data showed average US gasoline prices reached US$4.099 a gallon, up 30% from a year earlier.

Hyundai’s US EV market share rose to 6% in the first quarter from 5.6% a year earlier, while Tesla’s sales fell 8.4% to 117,300 vehicles, according to Cox Automotive estimates.

🔗 Source: The Korea Herald

🧠 Food for thought

Implications, context, and why it matters.

Hyundai is paying its own incentives while trying to qualify for federal support

Hyundai models have not qualified for the federal electric vehicle tax credit, so the company offers a US$7,500 cash incentive or gives customers the same amount through lease deals 1.
Hyundai moved up work on its Georgia EV plant. The 2025 Ioniq 5 is due to start production there in the fourth quarter of 2024 as Hyundai seeks Inflation Reduction Act (IRA) benefits 2.
Building vehicles in the U.S. is only one hurdle. Hyundai also needs to meet battery sourcing rules, and those rules kept most of its EV lineup off the Department of Energy eligibility list released in mid-January 1.

The math on EV ownership can lean positive, though it still depends

EV running costs are often lower. For an Ioniq 5, electricity can cost 30 to 50% less per mile than gasoline for a similar sport utility vehicle (SUV) when most charging happens at home 3.
Maintenance can also cost less. Over five years, EV owners may save about US$1,000 or more because the vehicles have simpler mechanical systems and do not need oil changes or spark plugs 3.
A higher sticker price does not always erase those savings. In some comparisons, lower fuel and upkeep costs make an EV cheaper to own than a gasoline vehicle over five years 4.