First Drive: We kicked up some SoCal sand off-roading in the new Hyundai IONIQ 5 XRT
Less than a year after its initial reveal, Hyundai officially launched its off-road-friendly IONIQ 5 XRT variant in the US and invited us to Palm Springs to test it out. This is a Hyundai IONIQ through and through, but it features some unique design upgrades, including a new drive mode to help it tackle tougher terrain than its siblings.
The Hyundai IONIQ 5 XRT is the latest variant to come out of HMG’s design lab. It was initially announced in March of 2024, just days after news of a refresh coming to the standard 2025 IONIQ 5, which we also tested out during this trip (check out that review here).
It wasn’t long after Hyundai confirmed the IONIQ 5 XRT that a camouflaged version was spotted in Korea. It presumedly pushed the limits of a new “Terrain Mode” the off-road variant debuts. We certainly did the same last week in the desert outside of Palm Springs where we got an opportunity to take the IONIQ 5 XRTs out of a natural terrain course and kick up some dust.
While this may not be the most rugged BEV out there, it’s most certainly the most off-road-friendly option from Hyundai, and the automaker continues to wow us with unique design elements that are both functional and just plain cool-looking. I’ve shared my complete impressions below.
The 2025 IONIQ 5 XRT is super cool… in the right color
The XRT is the second highest trim level on the Hyundai IONIQ 5 totem pole, below the Limited but above the SEL. As such, several unique features have been added to this new spin on the ever-popular IONIQ 5.
Starting with the exterior, you’ll notice a more rugged look. XRT does stand for “Extreme Rugged Terrain,” after all. The Hyundai team described this design approach as an “armor-like aesthetic.” The front and rear fascias have been equipped with unique protective cladding that goes higher up than a standard BEV for added protection from rocks and other debris.
Of course, Hyundai had to include its parametric pixels in the cladding! This subtle pattern, Hyundai calls “digital camo,” looks different in every lighting scenario (see close-up images above). That cladding was also placed above the wheels, which are unique to the IONIQ 5 XRT. This variant sits on simple yet badass 18″ black wheels with all-terrain tires.
The front features two bright red recovery hooks, while the rear offers higher protection on its corners and an embossed XRT badge. For added off-road capabilities, the IONIQ 5 XRT features a 23mm suspension lift alongside unique tuning, offering an extra inch of ground clearance (7″), a higher approach angle (19.8º), and a higher departure angle (30º).
That being said, this off-road BEV does not have a skid plate or underbelly protection. Instead, the Hyundai team said the added security comes from increased ground clearance. Let’s move into the interior.
As you can see in the image above, the interior of the 2025 Hyundai IONIQ 5 XRT is murdered out and appears a bit sportier than some of its siblings. The doors feature more of the brand’s new digital camo pattern behind an XRT logo, the same of which you’ll find embossed into the front head rests (see images above).
The rest of the interior is comparable to the standard IONIQ 5s, aside from some unique tech upgrades. For instance, the XRT is the first model to come equipped with a new Terrain Mode, which can be activated directly from the steering wheel.
From there, you can choose between sand, snow, and mud. While we saw snow up at elevation in the non-XRT versions of the 2025 IONIQ 5, we were only fortunate enough to trek through a desert course with plenty of compact and loose sand to see what Terrain Mode can really do.
In all honesty, the XRT was a blast to drive. Terrain Mode and the BEV’s H-Trac AWD let me open it up, but I felt in complete control the whole time. I especially had a blast on the course curves with loose sand, as I was able to swing that back end around without feeling like I was about to spin out.
The raised ride height and suspension tuning were noticeable, especially after having just driven the standard IONIQ 5 earlier that day, but it was still a bit of a bumpy ride out on those rocks, especially as a passenger. Here’s some footage of the course:
I feel the overall approach to the XRT is slightly gimmicky because this is undoubtedly an off-road capable BEV, but not something you’d take to Moab. That being said, Hyundai did an excellent job designing it to look rugged and cool.
I was not a big fan of the contrast between the XRT-exclusive cladding and lighter-colored exteriors like Atlas White and Cyber Grey. In my opinion, the darker exteriors complemented the cladding much better. Still, I wish we could have seen the two new Hyundai colors exclusive to the IONIQ 5 XRT – Cosmic Blue Pearl and Ultimate Red Metallic. Unfortunately, those colors weren’t available for our drive since we got some of the first XRT models off the assembly line. Oh well.
Overall, I enjoyed my time behind the wheel of the 2025 IONIQ 5 XRT, but this is a niche variant for a niche audience, similar to the IONIQ 5 N, which I’m also a massive fan of. That being said, I would rather have an N or a Limited trim of the 2025 IONIQ 5 since I’m not much of an off-roader (although if I were, I’d probably go with a Rivian instead).
If you like taking vehicles out in the dust and dirt, the IONIQ 5 XRT could be the BEV you’ve been looking for. I recommend checking it out in person to see the cladding up close and scroll through the terrain modes (if you can drive one out on a course, that would be even better!)
The 2025 IONIQ 5 XRT is now on sale in the US, starting at an MSRP of $55,400 before taxes and fees. It also comes available in two new colors exclusive to the XRT only –
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Environment
It seems like Elon Musk stoking a civil war in England isn’t good for Tesla’s sales there
Tesla’s EV registrations in the UK, its biggest market in Europe, took a dramatic hit in October 2025 — just 511 units — marking one of the brand’s weakest showings in recent memory. That’s a steep drop from 971 in October 2024 and 2,677 in October 2023. The tone of the market is shifting.
Maybe Tesla’s CEO stoking a civil war in England isn’t helping the automaker’s demand in the important market.
Tesla’s sales have been struggling in Europe over the past two years, and the decline has been accelerating in 2025.
While some believed that things were stabilizing for the American automaker in Europe, the October data tells a different story. Tesla had its worst month of deliveries of the year in 12 of its 15 biggest European markets.
As Tesla sales in Germany crashed over the last year, partly because Tesla CEO Elon Musk supported the far-right AfD party, the UK became Tesla’s biggest market in Europe.
But now it looks like the UK is going in the same direction.
According to registration data, Tesla delivered only 511 vehicles in the UK in October 2025. Tesla has over 50 stores in the country – that’s an average of roughly 10 vehicles per location for the whole month.
It’s the worst monthly performance since October 2022.
Much as Tesla’s demand crashed in Germany, Elon Musk’s politics might be behind the lower demand in the UK.
The CEO regularly comments on UK politics and often shares inflammatory reports about crimes perpetrated by immigrants. He also shares misleading crime and immigration statistics aimed at spreading hatred.
After he tweeted that “Civil war is inevitable. Just a question of when.”, he was accused of stoking a civil war in the country.
Musk’s public commentary on UK topics has sparked backlash and resulted in his “unfavorability rating” reaching 80% in the country.
Electrek’s Take
Meanwhile, Tesla’s demand cliff is opening the door to competitors. BYD is now expected to outsell Tesla in the whole year of 2025 in the UK despite Tesla having a presence in the market for much longer.
Not many industry watchers thought it would happen this fast.
Tesla appears to be completely missing out on the surge of EV sales in Europe due to a mix of having a stagnant EV lineup, brand problems brought on by a controversial CEO, and increased competition.
In the US, Musk is believed to have cost Tesla about 1 million sales over the last 3 years.
I think it will soon be approaching this number in Europe.
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Rondo Energy and energy producer EDP are installing a massive 100 MWh renewable-powered heat battery at HEINEKEN’s brewery in Lisbon, Portugal. The project will deliver round-the-clock renewable steam and reduce emissions without altering the facility’s beer brewing process.
Brewing HEINEKEN with zero-carbon steam
The Rondo Heat Battery (RHB) will be the biggest deployed in the beverage industry worldwide. It can store electricity as high-temperature heat using refractory bricks, then convert that heat into 24/7 steam, all without burning fossil fuels.
At HEINEKEN’s Central de Cervejas e Bebidas Brewery and Malting Plant, the heat battery system will supply 7 MW of steam, powered by renewable electricity from onsite solar and the grid. That steam is identical to steam created by gas-fired boilers, but without the carbon pollution.
EDP is providing the renewable electricity and will deliver the steam directly to HEINEKEN via a Heat-as-a-Service model. Rondo is supplying the battery, and HEINEKEN gets to ditch fossil fuels without retooling its brewing process.
Why this matters
This project is a big win for industrial decarbonization. High-temperature steam is one of the most complex parts of manufacturing to electrify, and the beer industry runs on it. HEINEKEN’s Lisbon site already uses solar panels for electricity and electric heat pumps for hot water, and this move helps it go even further.
It’s part of HEINEKEN’s “Brew a Better World” plan to hit net zero emissions by 2040 and decarbonize all of its global production sites by 2030.
Additionally, the deployment aligns with Portugal’s national target of reducing greenhouse gas emissions by 55% by 2030.
The bigger picture
With the European Investment Bank and Breakthrough Energy Catalyst backing this and other Rondo projects with €75 million in funding, this Lisbon installation is just the beginning. Rondo’s technology enables energy-hungry industries to switch from fossil fuels to renewable electricity without compromising 24/7 operations.
Rondo CEO Eric Trusiewicz sums it up: “We are thrilled to be installing our first Rondo Heat Battery in Iberia, and to support HEINEKEN to reach its goals. We look forward to helping industries across Iberia cut costs and carbon, and help Iberia capitalize on the opportunity.”
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Lucid Group (LCID) reported third-quarter earnings after the market closed on Wednesday, missing top and bottom-line estimates.
With 4,078 vehicles delivered in Q3, Lucid marked its seventh straight quarter with higher deliveries. Through the first nine months of 2025, Lucid delivered nearly 10,500 vehicles, more than the roughly 10,200 it handed over in 2024.
Although supply chain issues hampered production in the first half of the year, Lucid’s CEO Marc Winterhoff said the company made “significant progress ramping production of the Lucid Gravity through Q3,” including adding a second manufacturing shift at its Casa Grande, Arizona, plant.
Lucid produced 3,891 vehicles in Q3, missing estimates of around 5,600. With 9,966 EVs produced through the third quarter, Lucid will need to build over 8,000 more to meet its full-year production goal of 18,000 to 20,000.
According to estimates, Lucid is expected to report an adjusted quarterly loss of $2.27 per share on revenue of $352 million in Q3 2025.
Lucid Group Q3 2025 earnings breakdown
Lucid missed top and bottom-line estimates as it continues to address industry-wide supply chain issues that are hampering production of the Gravity SUV.
Although it missed estimates, Lucid reported Q3 revenue of $336.6 million, which is still up 68% from $200 million in the same period last year.
Lucid’s net loss narrowed to $978.4 million in the third quarter, or $3.31 per share, from $992.5 million, or $4.09 per share, in Q3 2024. On an adjusted basis, Lucid posted a loss of $2.65 per share.
In addition, Lucid said it agreed with Saudi Arabia’s Public Investment Fund (PIF) to increase the delayed draw term loan credit facility (DDTL) from $750 million to around $2 billion.
Given the increase, Lucid said total liquidity would have been around $5.5 billion at the end of Q3, up from the $4.2 billion it reported. Lucid ended the third quarter with $1.6 billion in cash and equivalents.
Lucid said liquidity is enough to fund it through the first half of 2027, up from the second half of 2026, as previously forecast. Lucid plans to launch production of its more affordable midsize platform in late 2026 with vehicles starting at around $50,000.
Lucid confirmed it was still on track to start production of the midsize platform later next year. However, given the supply chain issues, it now expects to hit the lower end of its production goal at around 18,000.
Winterhoff said the company “remains intensely focused on ramping up production and addressing the significant supply chain disruptions impacting the entire industry.”
Lucid is advancing other emerging tech, including autonomy and intelligent mobility. Through a new partnership with NVIDIA, Lucid aims to be among the first to offer Level 4 autonomous driving.
The third-quarter earnings miss comes after Rivian (RIVN) beat expectations this week, reporting higher revenue and improving gross margins.
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