Hyundai, Kia US sales dip 2.1% in April; hybrid demand hits monthly high
Synopsis
Hyundai and Kia's US sales dipped 2.1% in April — but the real story is the hybrid surge. With EV tax credits axed, hybrid demand jumped 57.8% on-year to a monthly record, signalling a major consumer pivot that could reshape the South Korean automakers' US strategy.
Key Takeaways
Hyundai Motor and Kia sold a combined 159,216 vehicles in the US in April 2025 , down 2.1 percent on-year .
Hyundai sold 86,513 units (down 1.5% ); Kia sold 72,703 units (down 2.8% ); Genesis rose 0.8% to 6,356 units .
Eco-friendly vehicle sales surged 47.6 percent on-year to 48,425 units , a new monthly high.
Hybrid demand grew 57.8 percent on-year , reportedly boosted by the US government terminating EV tax credits .
The overall decline is attributed to a base effect from a tariff-driven sales rush in April 2024 .
South Korea's online shopping hit a record 25.58 trillion won in March 2025, with auto spending up 109.9 percent on-year .
Hyundai Motor and Kia reported a combined 2.1 percent on-year decline in US vehicle sales for April 2025, even as demand for hybrid and eco-friendly cars surged to a new monthly record. The South Korean automakers attributed the overall dip to a base effect from a sales rush in the same period last year, when American consumers accelerated purchases ahead of Washington's auto tariffs.
April Sales Breakdown
The two automakers sold a combined 159,216 vehicles in the United States in April. Hyundai Motor accounted for 86,513 units, a decline of 1.5 percent from the previous year. Kia saw a steeper drop of 2.8 percent, selling 72,703 units. Hyundai's luxury arm, Genesis, was the lone bright spot in conventional segments, posting a marginal gain of 0.8 percent on-year to 6,356 units.
Eco-Friendly and Hybrid Vehicles Surge
Despite the headline decline, sales of eco-friendly vehicles — including electric vehicles (EVs) and hybrids — rose 47.6 percent on-year to 48,425 units, marking a new monthly high. Hybrid car demand was the standout performer, climbing 57.8 percent on-year, reportedly driven by the US government's decision to terminate EV tax credits, which appears to have redirected some buyer interest toward hybrids. EV sales also edged up, rising 7.7 percent to 7,186 units — a more modest but still positive trajectory.
The Tariff Base Effect Explained
The overall year-on-year decline is primarily a statistical consequence of last year's demand spike. In April 2024, consumers rushed to purchase vehicles before the imposition of Washington's auto tariffs, inflating the comparison base. This makes the current April figures appear weaker than underlying demand trends might otherwise suggest. Analysts note this pattern is consistent with what other automakers have also reported for the same period.
South Korea Online Shopping Sets Record
Separately, South Korea's online shopping market hit a new monthly high in March 2025, rising 13.3 percent on-year to 25.58 trillion won (approximately US$17.37 billion), according to data from the Ministry of Data and Statistics. The figure is the highest monthly level since the ministry began compiling the data in 2017. Spending on automobiles and auto accessories surged 109.9 percent on-year, supported by strong demand for Tesla vehicles sold through online ordering systems. Mobile commerce also hit a record, with purchases via smartphones and tablets rising 11.6 percent on-year to 19.4 trillion won. Food services and food and beverages categories climbed 14.2 percent and 13.3 percent on-year, respectively.
What to Watch
With EV tax credits now terminated and hybrid adoption accelerating, the coming months will test whether Hyundai and Kia's product mix — heavily invested in electrification — can sustain momentum in a US market reshaped by shifting policy and tariff pressures. May sales data will be closely watched for whether the base-effect drag normalises.
Point of View
And Hyundai-Kia — with a broad hybrid lineup — are positioned to benefit. The base-effect explanation is credible, but it also conveniently obscures whether tariff uncertainty is dampening longer-term purchase intent. That question won't be answered by one month's data.
NationPress
4 May 2026
Frequently Asked Questions
Why did Hyundai and Kia US sales fall in April 2025?
The decline of 2.1 percent on-year to 159,216 combined units was primarily due to a base effect — in April 2024, consumers rushed to buy vehicles ahead of US auto tariffs, inflating the year-ago comparison figure. Underlying demand trends, particularly for eco-friendly vehicles, remained strong.
How did hybrid car sales perform in April 2025?
Hybrid car sales surged 57.8 percent on-year, the sharpest growth segment for Hyundai and Kia in April. The jump is reportedly linked to the US government's decision to terminate EV tax credits, which redirected some buyer interest toward hybrids.
What happened to Hyundai and Kia EV sales in April 2025?
EV sales rose modestly by 7.7 percent to 7,186 units. While positive, the growth was far slower than hybrid demand, suggesting the end of EV tax credits may be tempering pure-electric adoption in the near term.
What was the Genesis brand's performance in April 2025?
Genesis, Hyundai's luxury vehicle brand, was a relative bright spot, posting a 0.8 percent on-year gain to 6,356 units, even as the broader Hyundai portfolio declined 1.5 percent.
What drove South Korea's online shopping record in March 2025?
South Korea's online shopping value rose 13.3 percent on-year to a record 25.58 trillion won in March 2025, driven by a 109.9 percent surge in automobile and auto accessory spending — largely attributed to Tesla vehicles sold via online ordering — as well as strong growth in food services and food and beverages.
