Hyundai Motor Co. is planning to introduce hybrid vehicles under its premium Genesis brand in the upcoming year. This initiative aims to address customers who are not ready to fully transition to electric vehicles (EVs). The development of hybrid engines and systems for Genesis models was started by Hyundai Motor Group, which includes Kia Corp.
The first hybrid model from Genesis is expected to be launched next year and will feature a 2.5-liter engine, which is larger than the 1.6-liter engine used in Kia’s Carnival van hybrid. This hybrid technology is anticipated to be integrated into popular Genesis models such as the G80 sedan and the GV70 SUV.
In the United States, Genesis dealerships have shown interest in a plug-in hybrid version of Genesis vehicles. However, Hyundai has not yet confirmed whether it will develop plug-in hybrid models for the Genesis brand. Currently, Genesis offers the G70, G80, and G90 sedans, as well as the GV60, GV70, and GV80 SUVs. Hyundai initially planned to convert all Genesis vehicles launched from 2025 into EVs but has adjusted this strategy due to a downturn in the EV market.
Global automakers, including General Motors, Ford, Stellantis, and Volkswagen, have reduced their investments and development efforts in EVs. Presently, Genesis offers three EV models: the G80 and GV70, which are based on combustion engine models, and the GV60, which is built on Hyundai’s dedicated EV platform, E-GMP.
In the previous year, Genesis saw a slight increase in overall sales, although sales of its all-electric vehicles experienced a minor decline. Hyundai and Kia are also set to introduce hybrid versions of flagship models such as the Palisade SUV, Santa Fe SUV, and the Staria minivan this year. Kia plans to release a hybrid variant of the third-generation Seltos compact SUV next year.
Hybrid vehicles constituted a larger share of Hyundai’s global sales in the last quarter of the previous year, showing a significant increase from the same period a year prior. Conversely, the proportion of EV sales slightly declined. Kia and Hyundai have reported notable increases in hybrid and plug-in hybrid car sales in the U.S.
Hybrids offer improved mileage and lower emissions compared to traditional combustion engine vehicles and contribute to higher sales margins for manufacturers, requiring fewer promotional subsidies. Toyota and Honda have also seen growth in hybrid car sales, with Honda introducing a new Civic hybrid.
Hyundai and Kia have previously launched hybrid variants of several models. The shift towards hybrid vehicles is viewed as a key strategy in the automotive market as the transition to electric vehicles encounters delays. The industry is now focused on the introduction of competitive hybrid models.
