Hyundai Motor Group on track to hit 30 million sales in U.S. since entering market

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Hyundai Motor Group on track to hit 30 million sales in U.S. since entering market

Published: 24 Mar. 2025, 17:02

Audio report: written by reporters, read by AI

Hyundai Motor's Elantra, which entered the U.S. market in 1991, has become the Korean automaker's best-selling model in the country, with 3.88 million units sold through last month. [HYUNDAI MOTOR]

Known early on for their value-for-money cars, Hyundai Motor and Kia are now closing in on 30 million cumulative vehicle sales in the United States as the brands shift toward a more premium image.

The two automakers have sold a combined total of 29.3 million vehicles in the United States since entering the market in 1986, as of the end of February, the company said Monday. The milestone comes 39 years after Hyundai shipped its first vehicle to the country.

Hyundai Motor and Kia have maintained the No. 4 spot in annual U.S. sales behind General Motors, Toyota and Ford for two consecutive years since 2023.

The first vehicle exported to the U.S. by Hyundai was the Excel, also known as the Pony Excel.

Hyundai Motor’s strategy in the United States was its affordability during its early years.

The Excel was priced at $4,995 — significantly cheaper than rivals like the Toyota Corolla at $7,523 and Chevrolet Chevette at $5,645.

In a 15-minute program aired last year on CNBC, the broadcaster said Hyundai Motor entered the U.S. market with low prices, modeled itself after Toyota and attracted talent as it continued to grow.

Hyundai’s best-selling model in the United States is the Elantra, a compact sedan known for its affordability. Since its debut in 1991, 3.88 million units had been sold through last month.

Once seen as a budget brand with quality concerns, Hyundai began regaining consumer trust in 1998 with the launch of its bold 10-year or 100,000-mile warranty. The company further strengthened its presence by localizing production, opening its first U.S. plant in Alabama in 2005. Kia followed in 2010 with a plant in Georgia.

Hyundai Motor and Kia surpassed 10 million cumulative U.S. sales in 2011 and have sold more than 1 million units annually since, reaching 20 million in 2018 and now approaching 30 million.

Unlike its early days, the U.S. market now contributes significantly to the profit of Hyundai Motor Group as sales of SUVs and premium models such as Genesis increase there. Last year, the companies sold 1.3 million SUVs in the country, which accounted for 75 percent of the group's total sales.

Genesis, Hyundai’s luxury brand, sold 229,532 units globally last year. Of those, 75,003 were sold in the United States — meaning one in three Genesis vehicles was sold in the country.

Hyundai Motor plans to bolster local production with the completion of its new Metaplant America facility in Georgia later this month, amid growing uncertainty in the U.S. market with a scheduled 25 percent tariff on imported vehicles going into effect from April 2.

The plant, which began mass production last October, is set to manufacture electric vehicles, hybrids and Genesis models. Combined with its Alabama and Georgia plants, Hyundai aims to raise its U.S. production capacity to 1.2 million units annually — enough to cover about 70 percent of Hyundai Motor and Kia’s record-high annual sales of 1.7 million units.

Translated using generative AI and edited by Korea JoongAng Daily staff.

BY LEE SU-JEONG [[email protected]]