Hyundai Motor Group, which owns Hyundai and Kia, is nearing its highest-ever market share in the US, the automaker's largest key market. This achievement stems significantly from a strategy to boost environmentally friendly vehicle lines, particularly hybrid models.

According to the latest data from market research firm Omdia, Hyundai and Kia sold a total of 589.936 vehicles in the US from January-April, a 1,3% increase compared to the same period last year. Hyundai's sales reached 310.218 vehicles, up 0,4%, while Kia's reached 279.718 vehicles, up 2,2%.

Among major automakers in the US, only Stellantis recorded sales growth, with a 3,5% increase to 411.973 vehicles, besides Hyundai and Kia. Conversely, the three market leaders – General Motors (GM), Toyota, and Ford – all saw sales decline. Specifically, GM dropped 10,2% to 858.413 vehicles, Toyota fell 1,4% to 791.798 vehicles, and Ford decreased 10,4% to 610.121 vehicles.

A Hyundai Tucson hybrid in the US market. Photo: Hyundai

Total automobile sales in the US during the first four months of the year reached over 5 million vehicles, a 6,7% decrease compared to the same period last year. US automakers saw a 9,5% decline to 2,01 million vehicles, Japanese brands dropped 4,7% to 1,95 million vehicles, and European brands fell 11,5% to 464.205 vehicles.

Hyundai and Kia's market share in the US for the January-April period reached 11,8%, a one percentage point increase from 10,8% in the same period last year. The two brands ranked fourth in the market, behind GM (17,1%), Toyota (15,8%), and Ford (12,2%).

After setting a record market share of 11,3% for the entire last year, analysts expect Hyundai Motor to surpass the 12% mark for the first time this year. The narrowing gap with Ford opens an opportunity for Hyundai Motor Group to enter the top three largest automakers in the US market.

Hyundai Motor's growth momentum in the US is attributed to strong hybrid vehicle sales. As tax incentives for electric vehicles under the Inflation Reduction Act (IRA) gradually end and rising fuel prices reduce the appeal of internal combustion engine vehicles, hybrid models have effectively met the changing demands of US consumers.

In Quarter I, Hyundai and Kia's hybrid vehicle sales increased 53,2%, reaching 97.627 vehicles. Last month alone, hybrid sales surged 74,4% to a record 43.392 vehicles, maintaining strong growth momentum. A Hyundai Motor representative stated that the company is flexibly responding to market demand through a diverse powertrain strategy, covering its entire range of environmentally friendly vehicles.

By Ho Tan (according to Chosun)