Hyundai and Kia are lapping the competition as US market share reaches a new record

Hyundai Motor and Kia are racing past US rivals, scoring their largest market-share jump since the pandemic. The Korean auto giants’ market share reached a record 10.9% in October.

Hyundai and Kia capture record US market share

Hyundai and Kia’s big bet on the US is paying off. Despite the new tariffs on imported vehicles and loss of the $7,500 federal EV tax credit, the Korean automaker is outpacing the competition.

Thanks to strong demand for electrified vehicles, especially SUVs, Hyundai and Kia captured a record 10.9% share of the US market in October.

Hyundai Motor, including Genesis and Kia, saw its combined US market share rise 3.4% from 7.5% in 2019. According to The Korean Economic Daily, this was the largest gain among major OEMs, including the “Big 3” GM, Ford, and Stellantis.

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The growth is primarily due to its expanding lineup of hybrid SUVs, including the Tucson, Sorento, Telluride, Santa Fe, and Palisade.

Since 2020, Hyundai and Kia’s US hybrid market share has surged from just 5% to 14% this year. Through October, the Korean automaker sold 257,340 hybrids, already topping the roughly 222,500 it handed over in 2024.

Although hybrid sales surged, Hyundai and Kia’s EV sales dropped in October following the loss of the $7,500 federal tax credit.

Hyundai sold just 1,642 IONIQ 5s last month, a 63% decrease from October 2024 and significantly fewer than the over 8,400 sold in September.

Kia didn’t fare much better with just 666 EV9s and 508 EV6s sold in October, a stark contrast from the 1,941 and 1,732 sold in October 2024.

The policy changes caused Kia to delay the launch of several new EVs, including the EV4, its first electric sedan, and the high-performance EV9.

Hyundai Motors North America CEO, Randy Parker, said the policy changes have “temporarily disrupted the market,” but the company is confident it will reset over the next few months.

After the US and South Korea agreed to lower tariffs from 25% to 15% last month, Hyundai and Kia are now on par with Japanese automakers, including Toyota. Japan reached a similar deal with the US in September.

With local production picking up at Hyundai Motor Group’s Metaplant America and Kia’s West Point plant in Georgia, the Korean automakers expect to carry the momentum into 2026.

Hyundai and Kia have been pushing some of the strongest promotions to make up for the loss of the federal tax credit. Kia introduced a $10,000 customer cash discount across its entire EV lineup last month. Meanwhile, Hyundai is still offering IONIQ 5 leases as low as $189 per month, which is about as low a payment you’ll find for an all-electric vehicle.

Interested in testing one for yourself? We can help you get started. You can use our links below to find Hyundai, Kia, and Genesis vehicles near you.

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