Hyundai Tucson HEV posts record US sales as hybrids catch on

South Korea’s Hyundai Motor Co. saw sales of the hybrid version of its flagship Tucson SUV hit an all-time monthly high in July in the US, the world’s second-largest car market.

The company said on Friday the Tucson HEV, or hybrid electric vehicle, sold a record 5,710 units in the US last month, up 85.5% from the year-earlier period.

To meet growing demand for the hybrid model, Hyundai ramped up production of the Tucson HEV at its main plant in Ulsan, Korea.

Thanks to the brisk sales of its hybrid models, Hyundai Motor posted decent sales growth for the month.

Hyundai’s sister firm Kia Corp., however, saw its US sales decline, due in part to a higher comparison base in the year-earlier period.

Sales of the Korean duo, including Hyundai’s premium Genesis brand, posted a combined 138,976 units in the US last month, down 3.3% from a year ago.

Hyundai Motor America sold 75,396 vehicles, up 3.5% from the year-earlier period, while Kia America saw its July sales decline 10.4% on-year to 63,580 units.

The Genesis posted a 2.2% decline to 60,193 vehicles.

HYUNDAI HYBRID SALES SOAR

Hyundai Motor America’s decent sales growth was led by hybrid models.

The Tucson HEV posted an 85.5% increase in retail and corporate sales, followed by the Sonata HEV, sales of which were up 50.1%, the Santa Fe HEV, up 42.7%, and the Elantra HEV, up 13%.

Hyundai’s total hybrid sales rose 53.4% to 12,347 units in July.

Sales of eco-friendly vehicles, including pure electric vehicles, hybrids and hydrogen fuel-cell vehicles, reached 17,231 units, accounting for 22.9% of Hyundai’s total US sales in July.

Hyundai and Kia’s combined hybrid sales rose 20.6% on-year to 19,386 units.

Despite a challenging start to July as the impact of the CDK disruption was yet to be fully resolved, Hyundai achieved a solid 4% increase in total sales, fueled by the HEV and EV lineup. 

“Our overall sales results in July reflect the sustained consumer demand for a diversified product portfolio,” said Randy Parker, chief executive of Hyundai Motor America.

In mid-June, the US auto industry experienced sales disruptions due to a glitch in the CDK software, a sales and inventory management system used by auto dealers, after a malicious ransomware attack.

KIA'S HIGHER COMPARISON BASE

Despite the launch of the new EV9, Kia America’s July sales fell due to the discontinuation of its compact model Rio and a temporary supply shortage ahead of the launch of the revamped Sorento SUV.

Its July sales declined because it posted record-high July sales in the year-earlier period, it said.

Kia’s flagship Sportage SUV saw a 6.5% on-year increase to 12,628 units, of which the Sportage HEV accounted for 3,640 units, or 29%.

Sales of Kia’s eco-friendly vehicles, including EVs, reached 11,413 units, accounting for 18% of its total vehicle sales.

“As we expand our electrified offerings with the first-ever hybrid Carnival MPV over the next few months, we are confident that consumer interest in the Kia brand will continue to strengthen,” said Eric Watson, vice president of Kia America’s sales operations.

Write to Jung-Eun Shin at newyearis@hankyung.com

In-Soo Nam edited this article.