Kia is hitting the brakes on manufacturing of its first three-row electrical SUV within the US. Regardless of the EV9’s profitable debut, new issues in regards to the EV tax credit score are reportedly inflicting Kia to reduce — no less than for now.
After one other record-breaking US gross sales month in October, Kia stated the spectacular progress is pushed by “sturdy demand” for its electrified lineup.
Kia offered over 69,900 autos final month, up 16% from the earlier report in October 2023. Electrical autos (EVs) led the expansion, with gross sales surging 70% yr over yr (YOY). Plug-in hybrid (PHEV) and hybrid (HEV) gross sales had been up 65% and 49%, respectively.
One of many greatest elements behind Kia’s rising gross sales numbers is the addition of its first three-row electrical SUV, the EV9.
After delivering the primary fashions final December, Kia has already offered practically 18,000 EV9s within the US via October. That’s much more than its first devoted electrical car, the EV6, with round 17,700 fashions offered via the primary ten months of 2024.
Regardless of the early success, Kia reportedly plans to gradual output because of new issues over the federal EV tax credit score.
Kia slowing EV9 output within the US over EV tax credit score guidelines
In keeping with The Korea Herald, Hyundai Motor Group is slowing Kia EV9 output at its new $7.6 billion EV manufacturing plant in Georgia.
After kicking off manufacturing at its large new Hyundai Motor Group Metaplant America (HMGMA) simply final month, EV9 output is already being placed on the again burner.
Business sources stated Hyundai produced simply 21 EV9s within the third quarter. Solely a kind of was offered within the US. In the meantime, Kia remains to be promoting a mean of 1,800 EV9 fashions every month.
Most EV9 fashions, even these for the US, are nonetheless constructed at Kia’s manufacturing plant in Korea. As well as, SK On manufactures its battery cells in China.
Due to this, the three-row electrical SUV solely qualifies for a partial $3,750 tax credit score. “The EV9 is ineligible to profit from the complete IRA advantages because of the battery subject, together with different elements, together with worth,” A Kia official defined.
Though EV9 costs begin at round $55,000, premium trims, just like the GT-Line mannequin, value upwards of $80,000, which exceeds the IRA threshold for SUVs and pickups ($80,000).
| 2025 Kia EV9 Trim | Beginning Value* |
| Mild Customary Vary | $54,900 |
| Mild Lengthy Vary | $59,900 |
| Wind | $63,900 |
| Land | $69,900 |
| GT-Line | $73,900 |
Hyundai is fast-tracking manufacturing at its battery cell plant in GA with SK On to realize compliance. The plant is predicted to have a 35 GWh annual capability, sufficient for over 500,000 EVs. The Korean automaker is constructing one other battery plant with LG Vitality in GA with an anticipated 30 GWh annual capability.
With President-elect Trump’s transition staff reportedly planning to kill the EV tax credit score, issues might get extra sophisticated subsequent yr.
“Lowering the EV subsidy might successfully finish advantages for overseas automakers with US amenities,” Kim Pil-su, a automobile engineering professor at Daelim College, defined. If that is so, Kia will seemingly want to spice up incentives.
Kia’s EV9 is already among the many most discounted EVs within the US. In keeping with Motor Intelligence, EV9 common reductions reached over $18,000 this summer season.
The corporate is presently providing $7,500 in Buyer Money, a $1,500 provide for Tesla house owners and lesseees, and an as much as $1,000 Season of New Traditions Retail Money Bonus.
With the brand new 2025 EV9 hitting dealerships, Kia is providing clearance costs on 2024 fashions. We can assist you benefit from the financial savings. You should use our hyperlink to view offers on 2024 and 2025 Kia EV9 fashions at a supplier close to you.
FTC: We use earnings incomes auto affiliate hyperlinks. Extra.
