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Despite concerns over a cooling EV market, Hyundai and Kia are “very bullish” as demand for their electric vehicles remains strong.

Over the past few months, I’m sure you’ve read headlines like “Automakers overestimated EV demand,” but some believe they are right on track. This includes Hyundai, Kia, and several others.

Senior executives from the Korean automakers told Reuters ahead of the LA Auto Show they are seeing strong demand for electric vehicles in the US.

“I am still very bullish on the battery electrics,” explained Jose Munoz, Hyundai’s global president, ahead of Friday’s event. Munoz pointed to doubling EV sales year-over-year as evidence.

Hyundai and Kia’s first dedicated EVs, the IONIQ 5 and EV6, both set US sales records in October. The strong EV demand propelled Hyundai, including Kia, to second in the US EV market behind only Tesla.

Hyundai claimed 4.8% of the US market through September, according to registration data reported from Automotive News.

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Hyundai IONIQ 5 (left) and IONIQ 6 (right) at Tesla Supercharger (Source: Hyundai)

Meanwhile, Kia accounted for 2.7% of the market for a combined 7.5%, or 64,000 EVs. Tesla is still in first by a wide margin (57.4%) while GM’s Chevy (5.9%) and Ford (5.5%) slipped.

Hyundai’s growth comes despite not qualifying for the $7,500 EV tax credit. Though the models do qualify through leasing.

In the first nine months of the year, electric vehicle registrations grew 61% to nearly 853,000. Electric vehicles crossed the 7% mark in total US sales in the first half of the year and are on pace to reach 1 million this year, according to BloombergNEF.

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12-month trailing EV sales *does not include plug-in hybrids (Source: BloombergNEF)

To put it in perspective, it took 10 years to sell one million EVs in the US, two years to reach the second million, and just over one year to hit the third.

Hyundai and Kia see strong US EV demand

Hyundai has plans to keep the momentum rolling despite delays from American automakers including Ford and GM.

“Based on what I see, I need more. If I had more capacity today, I could sell more cars,” Munoz said. Hyundai began construction on its first US EV and battery plant in Georgia last October. A year later, the company says 99.9% of the foundation work is complete.

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Construction of the Hyundai Motor Group Metaplant America general assembly plant and paint shop on October 19, 2023 (Source: HMGMA)

Munoz added “Our investments in the battery electric plant in Savannah (Georgia) move on. So we’re pushing as much as we possibly can to get it ready by October next year.”

He said Hyundai is accelerating its investment and that “We are pulling ahead.” Once production begins, the $5.5 mega complex will enable Hyundai EVs to qualify for the tax credit, boosting its momentum further.

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2023 Hyundai IONIQ 5 (Source: Hyundai)

Hyundai followed Tesla last month in slashing lease prices on its most popular models. The IONIQ 5 and IONIQ 6 are offered at some of the cheapest rates since launching.

The automaker also extended its free EV charger promotion with the purchase or lease of select EVs through January 2, 2024. The deal is good on the 2023-2024 Hyundai IONIQ 5 and IONIQ 6, or a 2023 Kona electric.

Electrek’s Take

Although higher interest rates and inflation have stoked fear in some, Hyundai is charging ahead. The company is looking long term with its vision.

The EV market is at an all time high. Sales are about to cross the one million mark in the US. While GM and Ford are pushing back targets, Hyundai sees it as an opportunity.

EV sales will continue growing year-over-year and Hyundai aims to become a top three producer by 2030. Delaying investments now, would only set the automaker back further. Instead, Hyundai is doubling down and accelerating progress at its US electric vehicle plant.

Hyundai is attracting buyers with unique all-electric offerings designed from the ground up. Other EV makers like Rivian, are also seeing growth. The startup raised its production goal to 54,000 for the year after a big Q3 earnings.

Volvo is another automaker that expects the growth to continue. With new models like the EX30 (see our review), starting at around $35K, Volvo looks to stregthen its position in the EV market.

So is the EV market cooling? Or are automakers lowering expectations because newer, more competive models are hitting the market? Let us know what you guys think in the comments.

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Mercedes-Benz unveils the new CLA Shooting Brake EV with impressive range

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Mercedes-Benz unveils the new CLA Shooting Brake EV with impressive range

The new CLA Shooting Brake is the first electric Mercedes vehicle available as an estate. It’s more spacious, more capable, and more high-tech than ever.

Meet the new Mercedes CLA Shooting Brake EV

Mercedes introduced the new CLA Shooting Brake on Tuesday, its first electric estate car. The Shooting Brake arrives as the second EV from the luxury brand’s new entry-level family of vehicles.

The electric wagon takes the best of the new CLA, which was revealed just a few weeks ago, and adds more space and capability.

It’s also bigger than the current CLA Shooting Brake, offering a more spacious interior. The new EV measures 4,723 mm in length, or 35 mm longer than the outgoing model.

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With an extended wheelbase of 2,790 mm (+61 mm), the electric version offers 14 mm more headroom and 11 mm more legroom in the front. Rear passengers gain 7 mm of headroom but lose 6 mm of legroom compared to the current model.

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Mercedes-Benz CLA Shooting Brake models (Source: Mercedes-Benz)

Boot space is 455 L, which is 50 L more than the CLA sedan, but 30 L less than the outgoing Shooting Brake. However, it does include an added Frunk (front trunk) for an extra 101 L of storage space.

With all seats folded, overall storage space is 1,290 L. It also comes with standard roof rails, which Mercedes claims can easily fit surfboards or bicycles with a 75 kg (165 lbs) load capacity.

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Mercedes-Benz CLA Shooting Brake with EQ Technology (Source: Mercedes-Benz)

Inside, the new Shooting Brake is nearly identical to the CLA Sedan. It features the new Mercedes-Benz Operating System (MB.OS) with its fourth-gen infotainment.

The setup includes a 14″ infotainment and 10.25″ driver display screens. An extra 14″ passenger screen is available. A trim piece with star-pattern graphics replaces it if not. All three screens are powered by the latest-gen chips and graphics from Unity Game Engine.

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Mercedes-Benz CLA Shooting Brake EV interior (Source: Mercedes-Benz)

Powered by the new Mercedes-Benz Modular Architecture and an 85 kWh battery, the new Shooting Brake EV offers up to 473 miles (761 km) WLTP range.

It will be available in single and dual-motor powertrains. The base CLA 250+ Shooting Brake has 268 hp (200 kW) output and a WLTP range of up to 473 miles (761 km). Meanwhile, the dual-motor CLA 350 4MATIC Shooting Brake has combined 349 hp (260 kW) and a range of up to 454 miles (730 km).

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Mercedes-Benz CLA Shooting Brake EV interior (Source: Mercedes-Benz)

Based on its 800V architecture, the new electric estate can add 193 miles (310 km) WLTP driving range within 10 minutes. Mercedes said that should be plenty to get from Geneva to Milan or Berlin to Hamburg.

Mercedes will introduce new EV variants in early 2026, followed by a 1.5 L hybrid model. Prices will be revealed closer to launch, but it’s expected to start slightly higher than the current model. The current CLA Shooting Brake starts at around €40,000 ($46,500) in Europe.

Following the new CLA and CLA Shooting Brake, Mercedes-Benz plans to launch two SUVs. Check back soon for more info on the upcoming lineup.

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U.S. moving fast to secure access to critical minerals to counter China’s dominance of market, Pentagon says

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U.S. moving fast to secure access to critical minerals to counter China's dominance of market, Pentagon says

MP Materials CEO on deal with the Defense Department

The Pentagon is taking immediate action to boost critical mineral production in the U.S. and counter China’s dominance of the supply chain for rare earth magnets, a defense official told CNBC on Tuesday.

The Defense Department last week agreed to buy a direct equity stake in MP Materials, which will make the U.S. government the miner’s largest shareholder. MP operates the only rare earth mine in the U.S. located at Mountain Pass, California, and a magnet plant in Forth Worth, Texas.

When asked whether the Pentagon is considering similar investments in other U.S. mining companies, the defense official said it is looking at opportunities to strengthen domestic critical mineral production.

“Rebuilding the critical minerals and rare earth magnet sectors of the U.S. industrial base won’t happen overnight, but DoD is taking immediate action to streamline processes and identify opportunities to strengthen critical minerals production,” official said in a statement.

Rare earths are used in weapons such as the F-35 warplane, drones and submarines among other other military platforms. The U.S. was almost entirely dependent on foreign countries for rare earths in 2023, with China representing about 70% of imports, according to the U.S. Geological Survey.

MP Materials CEO James Litinsky told CNBC last week that he views the public-private partnership with the Defense Department as a model for other companies in industries that are important for national security but struggle to compete against the state-backed enterprises in China.

“I’d like to think that this is sort of the first, it’s a model,” Litinsky told CNBC’s “Squawk on the Street” on Thursday. “We have to deliver at MP and show that this is an incredible route to go. But it’s a new way forward to accelerate free markets, to get the supply chain on shore that we want.”

Interior Secretary Doug Burgum said in April that the U.S. government was looking at taking direct equity stakes in critical mineral and rare earth miners to break China’s dominance. The Trump administration is also looking at stockpiling critical minerals and creating a sovereign risk insurance fund to protect companies investments’ in federally approved projects, Burgum said at an energy conference in Oklahoma City.

The Pentagon makes long-term investments in mining, processing and refining critical minerals, the defense official told CNBC. It has invested $540 million so far to support a critical mineral and rare earth supply chain in the U.S. and allied nations, the official said.

“That is significant, and DoD will continue to such efforts in accordance with congressional appropriations and statutory authorities,” the official said.

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Crypto super PAC Fairshake reports $141 million war chest

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Crypto super PAC Fairshake reports 1 million war chest

Jakub Porzycki | Nurphoto | Getty Images

Fairshake, the cryptocurrency industry’s most powerful political action committee, announced Tuesday that it now holds more than $141 million in cash on hand, underscoring the sector’s growing influence as Congress takes up landmark legislation this week.

The total, which includes liquid assets like crypto, stock, and cash, reflects a surge of donations from digital asset executives and firms, including a fresh $25 million from Coinbase.

Fairshake and its two affiliated PACs — Defend American Jobs and Protect Progress — have raised $109 million since Election Day in 2024 and $52 million during just the first half of this year.

“We are building an aggressive, targeted strategy for next year to ensure that pro-crypto voices are heard in key races across the country,” said spokesperson Josh Vlasto.

Ethereum succeeded beyond anyone's expectations, says network co-founder Vitalik Buterin at EthCC

The announcement lands in the middle of what lawmakers are calling “Crypto Week” on Capitol Hill, as the House begins deliberations on a trio of long-awaited bills that would define how digital assets are regulated.

The legislation includes the dividing of oversight, setting new stablecoin rules, and a bill banning the creation of a central bank digital currency.

The crypto industry is no longer just lobbying for survival, it is shaping the political landscape. Fairshake saw nearly every candidate it backed in 2024 win their race.

“We stuck to our core strategy from Day 1,” Fairshake previously told CNBC. “We supported pro-crypto candidates and opposed those who played politics with jobs and innovation, and won.”

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