Kia Corp., South Korea’s second-largest automaker, plans to manufacture and sell the EV5, its first China-made all-electric vehicle, at home to cement its leading position in the peninsula’s clean car market.
Kia, a unit of the world’s third-largest automaker Hyundai Motor Group, is set to launch the compact electric sport utility vehicle in South Korea in the second half, industry sources said on Wednesday.
The EV5 will be the group’s first China-launched electric model to be introduced in South Korea.
Kia, the country’s top electric vehicle seller in the first half, started preparing the EV5 production at its Gwangju plant, about 270 kilometers (168 miles) south of Seoul, with a plan to manufacture and sell it as early as the third quarter, according to the sources.
AFFORDABLE PRICES
The EV5 is the company’s first China-made all-electric vehicle launched in 2023, which it plans to sell globally.
The affiliate of South Korea’s top automaker Hyundai Motor Co. sold 11,396 units of the EV5 manufactured at its Chinese plant in Yancheng, Jiangsu Province.
The model equipped with low-priced lithium iron phosphate (LFP) batteries made by FinDreams Battery Co., a subsidiary of China’s top EV maker BYD Co. attracted customers in the mainland with its affordable prices.
Kia also exported the EV5 to other markets such as Thailand, New Zealand, Australia and South American countries.
In Australia, the EV5 was the No. 2 electric vehicle with sales of 2,212 units in the first five months, following the Tesla Model Y with sales of 6,974 units.
TO SOLIDIFY KOREA’S TOP EV SELLER
Kia’s EV sales in South Korea surged 73.6% to 28,706 units in the first half from a year earlier thanks to the popularity of the EV3 small electric SUV.
The maker of the EV6 crossover SUV and the large-size EV9 aims to accelerate the growth and solidify its leading position at home with the EV5.
The compact electric SUV is known to be equipped with nickel-cobalt-manganese (NCM) batteries in South Korea rather than LFP cells, industry sources said.
The EV5 is expected to be priced at 40 million-50 million won ($29,410-36,762), similar to those for the EV4 electric sedan unveiled earlier this year.
By Jung-Eun Shin
newyearis@hankyung.com
Jongwoo Cheon edited this article.
