Kia’s Mysterious EV5 Strategy: Why Canada Gets the Electric Car, But Not the US
The Mysterious Case of the Kia EV5: Why it’s Coming to Canada, but Not the US
Imagine walking into a car show and spotting a sleek, all-electric vehicle on display, its charges lights up and ready to pounce. You hurriedly rush to grab the keys to take it for a spin, only to be told, "Sorry, not available in the US." Unbelievable, right? Yet, that’s what’s happening with the Kia EV5, a car that’s set to hit the streets in Canada early next year, but unlike its US counterpart, won’t be coming to the US.
So, why is this?
The answer isn’t simple. Tariffs, you might think, given that the EV5 is built in China, just like many other Chinese auto brands. But, surprisingly, that’s not the case. Canada, actually, also has a tariff on imported Chinese EVs, just like the US. So, what’s going on here?
The Inflation Reduction Act in the US has something to do with it. The act offers a $7,500 rebate to buyers who purchase EVs that meet specific parts-sourcing requirements, which the EV5, unfortunately, may not meet. On the other hand, Canada’s iZEV program, which offered incentives for EV buyers, has since been put on hold due to funding issues.
A brief background on the Kia EV5
The Kia EV5 isn’t a new car; it’s been sold in various international markets since 2023. It’s built in China through a joint venture with Jiangsu Yueda and in Singapore by Hyundai independently. So, what’s the big deal about Canada?
Kia America, when asked about the EV5’s absence in the US, simply stated that they offer a full line of vehicles that meet their customers’ needs. Meanwhile, Kia Canada is excited to bring the affordable EV5 to their market, claiming it’ll be a great option for those transitioning into electric ownership.
Specs and features of the Kia EV5
The Kia EV5 will come in two flavors: a standard-range battery with 60.3 kWh and a long-range one with 81.4 kWh. It will also be available as an all-wheel drive, with Tesla’s NACS charge port, and rear seats that fold completely flat. Pricing is still to be announced, but we’re told it’ll be an affordable way to get into EV ownership.
While the reason behind the EV5’s Canada-exclusive status remains unclear, one thing is for sure: the electric vehicle market is getting more complicated, with tariffs and government incentives playing a significant role in its development. Stay tuned for more on this story.
Get in touch with the author: Have a tip or question about the EV5? Reach out to [email protected].
