Kia blitzes mass-market EV segment with wave of new products

Yahoo

27-02-2025

TARRAGONA, Spain — Kia aims to become a mass-market, full-line electric vehicle player by blitzing into fresh segments with two new affordable compact offerings and its first commercial van to leverage a first-mover advantage amid growing uncertainty about EV demand.
On tap is a compact car called the EV4, offered in sedan and hatchback variants. Also in the works is a smaller EV2 crossover, mainly targeted at Europe. Meanwhile, Kia will enter the utility space with its PV5 people and cargo mover.
CEO Ho Sung Song unveiled the trio of new nameplates at the annual Kia EV Day briefing held here Feb. 24. At the event — Kia's take on a Tesla- or Apple-style technology showcase — Song doubled down on the automaker's ambition to become a global leader in EVs, even as sales growth for battery-powered vehicles slows and the EV regulatory framework gets murky.
'As our industry faces increasing uncertainty, our competitors are revising their EV strategies,' Song said. 'However, we at Kia, with our unwavering belief in electrification, have sought ways to shift market trends and fulfill our promise to customers.'
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All three vehicles — the EV2, EV4 and PV5 — will start in the €30,000 to €40,000 range ($31,500 to $42,000), expanding the brand's entry-level offerings, the Kia boss said.
'We're not just providing options, we are infusing electrification into customers' daily lives, making EVs more accessible,' Song said. 'We strive to democratize EV ownership, making the benefits of sustainable mobility solutions open to everyone.'
The EV4 variants will be the brand's first electric sedan and hatchback entries, while the EV2, unveiled in concept form, will take Kia into the entry segment with its smallest EV.
The EV2 and EV4, along with the PV5 commercial vehicle, will add variety to Kia's crossover-heavy EV lineup. The current portfolio consists of the EV3 compact crossover sold in South Korea and Europe, the EV5 midsize crossover sold in China and other global markets, the EV6 compact crossover and the top-of-the-line EV9 three-row utility vehicle.
For the European market, the EV2 is expected to start around €30,000 ($31,500), the EV4 around €37,000 ($38,800) and the PV5 around €35,000 ($36,700), executives said.
Pricing in other markets, including the U.S., will be announced later.
'Our aim is to revitalize the stagnating EV market and accelerate the electrification movement of the auto industry,' said Vice President Spencer Cho, head of global business planning.
The EV4 sedan will be produced at Kia's Autoland Gwangmyeong EVO Plant in South Korea, while the hatchback will be built only in Slovakia, primarily for Europe, Kia said.
EV4 output begins in mid-March for the South Korean-market sedan and in the second half of the year for the Europe-only hatchback. Production for North America and other regions is planned for this year, Kia said. The sales rollout would follow a similar cadence, the company said.
The U.S. is not expected to get the hatchback.
The EV2 will go on sale in Europe and other regions in 2026. Kia did not specify the other regions and said it was too early to say whether the EV2 will be offered to U.S. dealers.
Kia will start selling the PV5 in South Korea and Europe in the second half of the year, followed by launches in other markets in 2026. The company said it is still evaluating its fit for the U.S.
Kia showed the concept PV5 van at this year's CES technology expo in Las Vegas, hinting at potential for the U.S. market, where it could serve in ride-hailing or delivery work.
It will be exclusively manufactured at the EVO Plant in South Korea. Thus, as a commercial van, it could be slapped with America's so-called 25 percent chicken tax tariff on imported trucks, Song said.
Kia's U.S. sales of EVs climbed 87 percent to 56,099 vehicles in 2024, ranking it No. 5 among brands in EV sales, according to Kelley Blue Book. The EV9 racked up deliveries of 22,017 in its first full year on sale, while the EV6 notched a 15 percent increase to 21,715 vehicles.
Sibling brand Hyundai, by contrast, saw its EV sales rise 7.2 percent to 61,727 vehicles.
Kia's global EV sales rose 10 percent to 201,000 in 2024, as overall sales inched ahead only 0.1 percent to 3.09 million. Kia wants to sell 250,000 EVs worldwide this year.
By 2030, the company wants to sell 1.6 million EVs globally, out of some 4.3 million vehicles of all powertrain types. EVs should account for about 30 percent of Kia's total sales by then, Song said.
He said Kia will get there by ramping up a full range of new EVs, including the EV2, EV3, EV4 and EV5. Kia also plans 11 commercial EVs in that time frame, including the PV5, PV7 and PV9.
Kia hopes the bigger lineup casts a wider net for customers and builds scale to help spread the costs of its EV investments. After years of steady growth, U.S. sales of EVs are expected to level off this year and maintain the same market share of 9.1 percent with around 1.2 million vehicles, J.D. Power has forecast. The potential end of U.S. tax credit incentives for EVs under the Trump administration, as well as the slow build-out of the nation's charging infrastructure, are seen as sapping momentum.
President Donald Trump has indicated he will eliminate the tax credit, while the tariffs he has imposed or threatened on steel and aluminum, as well as on products from China, Mexico, Canada and other countries, are expected to boost the already pricey stickers of EVs.
In Europe, EV sales declined 1.3 percent in 2024 as countries including Germany terminated subsidies. But tougher European emissions regulations take effect this year, compelling carmakers to sell even more EVs.
S&P Global said the EV segment faces downward pressure in 2025.
'Following a slowdown in market share gains for EVs and rising inventories for several models, we think the next wave of buyers will be more price-sensitive and depend on significant battery range improvements, charging infrastructure and technology,' S&P Global said.
Moving downmarket with the EV4 and EV2 could help Kia tap those shifting sensitivities.
Kia calls the EV4 a C-segment vehicle that tests a new body style for sedans with its notch-backed roofline, setting it apart from the gasoline-powered K4/Forte and other entries in the compact segment such as the Toyota Corolla and Honda Civic. In the EV realm, the EV4 would go up against the likes of the Volkswagen ID3, the Tesla Model 3 or the BYD Seal.
Built on Hyundai Motor Group's dedicated 400-volt E-GMP EV platform, the EV4 will offer two battery options: a long-range 81.4-kilowatt-hour power pack or a standard 58.3-kWh setup.
The long-range sedan will go up to 630 kilometers (391 miles), while the standard-range version ekes out 430 kilometers (267 miles) under Worldwide Harmonised Light Vehicles Test Procedure standards. Hatchback variants deliver 590 kilometers (366 miles) and 410 kilometers (254 miles) of range.
Worldwide Harmonised Light Vehicles Test Procedure ratings are considered more optimistic than the U.S. standard set by the EPA.
Both vehicles get a 150-kilowatt front-mounted motor that can make 0 to 100 km/h (0 to 62 mph) in as little as 7.4 seconds. The long-range version is a fraction of a second slower.
Both variants top out at 170 km/h (105 mph).
Aerodynamic styling and undercovers give the EV4 an ultralow drag coefficient of 0.23.
The EV4 cuts a unique silhouette thanks to what Kia calls a 'new typology' of sedan.
The nose is low and blunt, while the tail is elongated with raked rear windows. A distinct rear spoiler notch above the C-pillar breaks the arc of the roofline for a disconnected look. The unusual angles help the EV4 achieve what Kia calls largest-in-class luggage space of 490 liters (17.3 cubic feet) for the sedan and 435 liters (15.4 cubic feet) for the five-door.
Kia also plans a sporty EV4 GT-line variant with more dynamic styling and bigger wheels.
The Concept EV2 shrinks down rugged utility vehicle styling for an upright urban runabout featuring robust fenders and a boxy profile. Its rear-hinged doors and wide-opening tailgate add to its utility, while the absence of a central pillar elevates the sense of spaciousness.
The interior is reconfigurable with second-row seating that folds down for more cargo space or folds up to allow the front seats to slide back for a stretch of the legs.
Kia says it will feature vehicle-to-load external charging and electricity supply capabilities as well as over-the-air software update capacity. Cho said it will option two batteries, a standard lithium iron phosphate battery that delivers a range of at least 300 kilometers (190 miles) and a long-range nickel cobalt manganese battery capable of 450 kilometers (280 miles).
Kia touts the metal surface along the dashboard in the cabin as a standout feature of the Concept EV2's design for the way it integrates wireless charging and a power outlet.
Triangular speakers mounted in the door trim are removable and portable. This allows you to put the speakers anywhere you want inside the vehicle for an optimum sound experience or even take them with you for a party-on-the-go after you've parked.
The PV5 will be positioned as a key lever in Kia's plans to take on the likes of Ford and Stellantis in the zero-emission commercial vehicle space.
Song said Kia will benefit from being a 'first mover' in this emerging segment.
The PV5 leads off the carmaker's coming range of electric commercial vans built on the same flexible 'skateboard' platform, called E-GMP.S, short for Electric-Global Modular Platform for Service.
The strategy revolves around electric fleet vehicles for delivery vans, ride-hailing and other ventures. Kia calls the business concept Platform Beyond Vehicle.
CEO Song said Kia wants to sell 250,000 Platform Beyond Vehicles globally by 2030, as part of its 1.6 million EV goal.
In 2030, Kia envisions worldwide sales of 150,000 PV5s and about 100,000 other vehicles. After launching the PV5 this year, Kia will introduce a larger PV7 in 2027 and a PV9 in 2029.
Song unveiled the Platform Beyond Vehicle strategy in 2020 as part of a brand relaunch that included a new logo and ambitious growth targets. At the time, the company dubbed the vans 'purpose-built vehicles.'
Since then, the strategy has evolved. The first phase covers four variants of the PV5: passenger, cargo, chassis cab and WAV, a wheelchair access model featuring side-ramp egress.
The variants will be pitched for ride-hailing, delivery and other applications.
The PV5 passenger vehicle features a three-row seat configuration for people and their luggage. It will be offered in five- and six-seat versions. The PV5 cargo model gets expanded dimensions including long and high-roof versions to optimize payload. The PV5 chassis cab is supplied as an unfinished vehicle, with a cabin section and back end that can be modified into a multitude of configurations.
The PV5 is optioned with a 51.5-kWh or 71.2-kWh battery in passenger vehicles, with an additional 43.3-kWh option for the PV5 cargo model. The front motor is 120 kilowatts, delivering a driving range of 400 kilometers (250 miles), depending on specifications, under Worldwide Harmonised Light Vehicles Test Procedure standards.