Hyundai Motor and Kia 'Stumble' in the US

Impact of Semiconductor Supply Shortage
Double-Digit Decline in Sales
Better Performance Than Honda and Toyota

Kia EV6. Source: Kia America Sales Corporation

[Asia Economy Reporter Cho Hyun-ui] Hyundai Motor Company and Kia experienced a slowdown in the U.S. market last month. Due to the semiconductor supply shortage and other factors, their sales volume dropped by double digits compared to the previous year.

However, it is analyzed that they performed relatively well compared to other brands in the U.S. such as Honda, Toyota, and Subaru. Kia surpassed a cumulative sales volume of 10 million units since entering the U.S. market.

According to Bloomberg News and Hyundai Motor Group on the 4th, Hyundai sold 66,707 units in the U.S. last month, a 17.5% decrease compared to the previous year. Kia sold 59,063 units, marking a 15.8% decline from the previous year.

In Hyundai’s case, although sales volume decreased, it was the second-best retail sales performance ever in the U.S. market. The luxury car brand Genesis sold 5,039 units, an increase of 53.0%.

By model, the Tucson was the best-selling with 14,616 units, followed by the Santa Fe (11,074 units) and the Avante (10,669 units). The Santa Cruz recorded its highest monthly sales with 3,150 units sold.

Kia, which entered the U.S. market in 1993, exceeded a cumulative sales volume of 10 million units. The best-selling Kia model last month was the Sportage with 11,380 units, followed by the K3 with 9,798 units and the Telluride with 8,233 units.

Honda, Toyota, Subaru, and others posted even weaker results. Honda’s sales volume decreased by 40.4% compared to the previous year, Subaru by 25.5%, and Toyota by 22.7%, all in the 20% range. On the other hand, Volvo, which sold 11,990 units, saw an 8.0% increase in sales during the same period. The poor performance in April is analyzed to be due to the semiconductor supply shortage as well as the base effect from last year.

Hyundai and Kia’s sales of eco-friendly vehicles in the U.S. in April increased by 78.2% compared to the previous year, showing strong performance. In particular, electric vehicle sales increased more than threefold (332.2%).

Eric Watson, Vice President of Kia America (KA), said, "We are leading the most important parts of the recent market, including a successful electrification transition and strong Sportage sales."

This content was produced with the assistance of AI translation services.