Hyundai won’t be drawn into an electric vehicle (EV) price war in Australia.
The Korean manufacturer currently offers six electric models in Australia – the Inster, Ioniq 9, Kona Electric, Ioniq 6, Ioniq 5, and Ioniq 5 N – the cheapest of which (Inster) starts at $39,000 before on-road costs.
At the other end of the spectrum, the new Ioniq 9 is the most expensive Hyundai ever sold in Australia, with a retail price of $119,750 plus on-roads.
Chinese automakers currently have the upper hand when it comes to EV pricing – BYD, GWM, Chery and MG all boast electric models cheaper than the Inster, and the same comparisons can be made across other vehicle segments.
Hyundai ranked seventh for EV sales (2689 total) in Australia last year, sitting behind Tesla, BYD, MG, BMW, Volvo, and sister brand Kia.
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Above: Inster
However, Hyundai won’t slash prices or introduce cheaper EVs to win over new car buyers, according to local boss Don Romano.
“I don’t think any change in our pricing competitiveness is something that is a long-term issue,” Mr Romano told media including CarExpert at the launch of the Ioniq 9.
“When you look at Chinese EVs, the question I’d have is how long can they sustain that low price when we’re all using the same materials and the same equipment?”
Instead, Hyundai’s next move will be to shift upmarket, as evidenced by the introduction of the Ioniq 9. While brand representatives stressed that there’s no premium push on the horizon, Mr Romano says Hyundai needs to aim higher going forward.
“I think if we don’t start moving upmarket, that’s the risk. I think there’s a number of manufacturers that are not taking that type of bold step, and they’re going to regret it in the future,” said Mr Romano.
Above: Ioniq 9
“You can’t stay in one place, you have to evolve, and I think this is part of our evolution.
“There’s always going to be someone that’s cheaper, that can build a car for less money somewhere. And if you look through the rear-view mirror, you’re going to see them there. I’d prefer to look through the windshield and go forward.”
Cox Automotive Australia has forecast Chinese imports will account for a 20 per cent stake in the Aussie auto market this year, up three per cent from last year.
Behind Tesla, BYD and MG sold the most EVs in Australia last year, accounting for 22,499 deliveries.
GWM also featured in the top 10 brands for total EV sales, though unlike its Chinese rivals it has just one EV in Australia.
