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Hyundai Motor, Kia log record Q1 sales in U.S. on surging hybrid demand

Published: 02 Apr. 2026, 18:39

Hyundai Motor unveiled its Boulder concept at the 2026 New York International Auto Show at the Javits Center in New York on April 1. [HYUNDAI MOTOR GROUP]

Hyundai Motor and Kia recorded their highest-ever first quarter sales in the United States, driven by a surge in demand for hybrids that helped offset weaker electric vehicle sales and outpace most major competitors in a slowing market.

Hyundai Motor, including its luxury Genesis brand, sold 223,705 vehicles in the United States in the January to March period, while Kia sold 207,015 units, bringing their combined total to 430,720 vehicles, Hyundai Motor Group said Thursday. That marked a 2.6 percent increase from 419,912 units a year earlier.

Rival automakers mostly reported weaker results. General Motors’ sales fell 9.6 percent from a year earlier, while Toyota edged down 0.1 percent, Honda declined 4.2 percent and Nissan dropped 8.3 percent. Stellantis reported a 4.1 percent increase.

The broader U.S. auto market has softened in recent months, weighed by tariffs and weaker demand after a surge in purchases ahead of tariff announcements by U.S. President Donald Trump last year. Higher vehicle prices have increased the burden on consumers, while the removal of EV subsidies has also hurt sales.

Hyundai Motor and Kia countered slowing EV demand with strong hybrid sales. The group sold 18,086 EVs in the first quarter, down 21.6 percent from a year earlier, but hybrid sales rose 53.2 percent to 97,627 units.

“In March, Hyundai Motor and Kia’s hybrid sales surpassed Honda to rank second,” said Lim Eun-young, an analyst at Samsung Securities. “The group plans to benchmark Toyota’s strategy by building a full hybrid lineup, which will stand out further amid high oil prices.”

Hyundai Motor CEO José Muñoz speaks during the company’s press conference at the 2026 New York International Auto Show at the Javits Center in New York on April 1. [HYUNDAI MOTOR GROUP]

Hyundai Motor is expanding its lineup to sustain growth. At the New York International Auto Show on Wednesday, it unveiled a midsize pickup truck concept, the Boulder, aimed at the North American market, where pickup demand remains strong.

"The Boulder concept demonstrates how Hyundai is seeking to give American customers more of what they want,” said Hyundai Motor President José Muñoz. “We intend to compete in the midsize pickup segment with everything we have."

The company said it plans to expand its hybrid lineup to 18 models by 2030 and launch an extended-range EV next year.

Kia introduced its compact SUV, the all-new Seltos, and the EV3 compact electric SUV in North America for the first time at the auto show, as it seeks to broaden its lineup and boost market share.

“With rapidly rising demand for hybrid vehicles in North America, Kia plans to expand hybrid models across its entire SUV lineup,” said Yoon Seung-kyu, head of Kia’s North America division.

Muñoz also stressed the need to expand production in the United States during a panel discussion at the auto show. He said Hyundai would compete with Chinese and other rivals by focusing on product quality, technology and services rather than price.

This article was originally written in Korean and translated by a bilingual reporter with the help of generative AI tools. It was then edited by a native English-speaking editor. All AI-assisted translations are reviewed and refined by our newsroom.
BY NAM YOON-SEO [[email protected]]