This file photo provided by Hyundai Motor shows the IONIQ 6 all-electric model.
SEOUL, Aug. 18 (Korea Bizwire) — Hyundai Motor Co. is offering subsidies to counter the decrease in demand for electric vehicles (EVs), encompassing both reduced charging fees and discounted vehicle prices.
Customers who utilize E-Finance, a financial tool tailored for EV purchases, will be eligible for up to 1.6 million credits (equivalent to 1.6 million won) when acquiring an EV, according to industry sources.
This credit sum is sufficient to cover a year and a half’s worth of EV recharging, calculated based on an annual driving distance of 15,000 kilometers.
Further credits amounting to 800,000 will be provided when customers purchase an Ioniq 5, Ioniq 6, or Kona Electric. Opting for installment payments, leasing, or renting will result in additional credits ranging from 400,000 to 800,000.
In addition, a discount of 4 million won (US$2,980) will be applicable to last year’s models of Ioniq 5 and Ioniq 6.
The discount represents an increase of 1.5 million won compared to the prior figure of 2.5 million won, effective since June.
These initiatives are a direct response to the recent slump in sales performance.
This year, the total sales of Ioniq 5 amounted to 10,854 units, marking a significant 40.4 percent decrease compared to the previous year. Sales for July plunged by 56.5 percent in comparison to last year.
Similar sales downturns were observed for the Genesis G80 (EV), GV60, and GV70 (EV), which experienced sales drops of 57 percent, 31.2 percent, and 15.6 percent, respectively, compared to the previous year.
Hyundai has approached major EV parts manufacturers with a request to curtail production by 15 to 20 percent throughout the months of August and September, industry sources said.
Kevin Lee (kevinlee@koreabizwire.com)
