Cars destined for export are waiting to be shipped. (Yonhap)
SEOUL, Jan. 18 (Korea Bizwire) — Hyundai Motor Co. and Kia Corp. captured a record share of the U.S. auto market in 2025, buoyed by expanded local manufacturing and surging hybrid sales, even as Washington’s tougher trade policies weighed on global automakers.
The South Korean auto group sold a combined 1.84 million vehicles in the U.S. last year, securing an all-time-high market share of 11.3%, according to data from Wards Intelligence and industry officials.
Hyundai accounted for 984,017 vehicles, or 6.1% of the market, while Kia sold 852,155 units, giving it a 5.2% share. Together, the two brands ranked fourth in the U.S. market, behind General Motors, Toyota Motor Corp. and Ford Motor Co.
The gain came as overall U.S. auto sales rose 2.4% to 16.23 million vehicles in 2025. Hyundai and Kia outpaced the broader market, posting a combined sales increase of 7.5%.
Euisun Chung, executive chair of Hyundai Motor Group, appears on stage at a completion ceremony for the Hyundai Motor Group Metaplant America in the city of Savannah of the U.S. state of Georgia in this photo provided by the group on March 27, 2025. (Yonhap)
Analysts attributed the growth to the automakers’ flexible production strategy and their decision to absorb tariff-related costs rather than pass them on to consumers—a move that helped preserve price competitiveness amid heightened trade tensions.
Hyundai last year completed construction of its third U.S. manufacturing facility in Georgia, strengthening its ability to respond to local demand and reduce exposure to import tariffs. Vehicle shipments from South Korea to the U.S. declined 4.2% in 2025, reflecting the shift toward localized production.
Hybrid vehicles emerged as a key growth driver. Combined U.S. hybrid sales by Hyundai and Kia jumped 48.8% to 331,023 units, underscoring rising consumer demand for fuel-efficient models as automakers navigate an uneven electric-vehicle transition.
The group has said it plans to lift its U.S. production capacity to more than 1.2 million vehicles annually, up from about 700,000 in 2024, signaling a deeper long-term bet on the American market.
Workers assemble the IONIQ 5 at Hyundai Motor Group Metaplant America (HMGMA) in Georgia, ahead of its official completion ceremony on March 26 (local time). (Image provided by Hyundai Motor)
Kevin Lee (kevinlee@koreabizwire.com)
