Hyundai and Kia Report Record-Breaking EV Sales in August

Hyundai Sets All-Time August Record

Hyundai had a standout month in August 2025, selling 88,523 vehicles in the U.S.—its best August ever. While the majority were still traditional internal combustion models like the Elantra, Palisade, and Tucson, the company’s electrified lineup played a significant role. EVs and hybrids accounted for 32% of Hyundai’s retail sales mix, marking a sharp rebound after a sluggish start to the year.

Hyundai’s EV sales surged 72% year-over-year, led by the Ioniq 5, which continues to be the brand’s strongest performer.

Ioniq 5 Leads the Charge

The Hyundai Ioniq 5 posted 7,773 sales in August, a 61% increase over last year. With nearly 33,000 units sold through August, it remains Hyundai’s flagship EV. The latest updates make the Ioniq 5 even more appealing, with factory-installed NACS charging compatibility, improved features, and the rugged XRT off-road trim.

Other EVs also contributed: the Ioniq 6 recorded 1,047 units sold (up 30%), while the new Ioniq 9 three-row SUV found 1,106 buyers. Together, these models highlight Hyundai’s growing momentum in the EV market.

Hybrid Momentum Keeps Growing

Hyundai hybrids also performed strongly, with the Elantra Hybrid and Santa Fe Hybrid reaching monthly sales records. In a market where many sedans are being discontinued, the Elantra continues to defy expectations, showing that consumer demand for efficient sedans remains strong.

Although Hyundai combines hybrid sales with its gas-only lineup in reporting, analysts note that hybrids are becoming an increasingly important bridge for customers transitioning toward full EV adoption.

Kia Hits All-Time Monthly Sales Record

Kia also had a record-setting month, selling 83,007 units in August—the brand’s highest monthly U.S. sales ever and a 10.4% year-over-year increase. The Sportage led Kia’s lineup, followed by the Telluride and the K4/Forte sedan.

The Kia EV9 rebounded after a July dip, recording 2,679 sales in August, a 12% year-over-year increase. In contrast, the EV6 continued its decline, selling just 1,769 units, down nearly 5% from last year. August marked the seventh consecutive month of sales decline for the EV6, underscoring how it has fallen behind its Ioniq 5 sibling.

Incentives and the Tax Credit Deadline

Both Hyundai and Kia have relied heavily on aggressive incentives, supported by the $7,500 federal EV tax credit, which expires on September 30, 2025. Importantly, buyers can still qualify for the tax credit as long as contracts are signed by the deadline, even if delivery occurs later.

Analysts expect a sales rush in Q3 2025 as buyers move quickly to lock in discounts, but warn of a slowdown later in the year once credits expire. Still, Hyundai maintains it is on track for its best annual sales ever.

What’s Next for Hyundai and Kia

Looking forward, both automakers have more electrified models in the pipeline. The next-generation Hyundai Palisade, revealed at the New York Auto Show, will launch this fall and—for the first time—include a hybrid powertrain. Kia’s compact EV3 is set to arrive in the U.S. in 2026, targeting affordability in the growing EV crossover segment.

Meanwhile, Hyundai is preparing to unveil the Concept Three at the IAA Munich Auto Show in early September. Widely expected to preview the future Ioniq 3, the model could become Hyundai’s most affordable EV yet.

Conclusion

With record-breaking August sales, Hyundai and Kia have solidified their position as major EV players in the U.S. market. However, the looming expiration of federal tax credits casts uncertainty over the next few quarters. Whether momentum continues will depend on how quickly their upcoming models—like the Palisade Hybrid, EV3, and Ioniq 3—can attract cost-conscious buyers in a changing policy landscape.

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