[Alpha Biz= Kim Jisun] Seoul, South Korea — July 8, 2025 — Kia has announced significant price increases for the 2026 model year Sportage Plug-in Hybrid (PHEV) in the U.S. market, raising sticker prices by up to 6.3%. The hike marks the first time the top-trim variant surpasses a 6% year-over-year price increase, signaling the company’s response to rising costs triggered by new U.S. import tariffs.



According to the auto industry on July 8, Kia has set the Manufacturer’s Suggested Retail Price (MSRP) for the 2026 Sportage PHEV X-Line trim at $40,490 and the X-Line Prestige trim at $47,190. This reflects increases of $600 (1.5%) and $2,800 (6.3%), respectively, compared to the previous model year.



This is the most significant price hike since Kia launched the Sportage PHEV in the U.S. in 2022. In prior years, price increases were relatively modest—2.1% in 2023 and 0.7% in 2024—resulting in an average annual rise of just 1.4%. For the first time, the base X-Line trim has also crossed the $40,000 mark.



Industry analysts interpret the move as a broader signal from Hyundai Motor Group—parent company of both Hyundai and Kia—that it may begin raising prices in the U.S. market. Despite the 25% tariff on imported vehicles implemented by the U.S. government in April, Hyundai and Kia had previously held back on price increases to protect market share. However, as pre-tariff inventory runs low, rising input costs are now forcing a shift in strategy.



The financial sector is already forecasting a decline in Q2 operating profits for both automakers. Hyundai is projected to post 3.60 trillion KRW, and Kia 2.44 trillion KRW in operating income—down 16% and 16.8%, respectively, from the same period last year.



Looking ahead, both companies are expected to selectively increase prices on new models, especially premium trims and large vehicles where consumer price sensitivity is lower. Hyundai is preparing to launch the redesigned Palisade SUV in the U.S. in the second half of 2025, while Kia plans to introduce the K4 hatchback and EV9 Nightfall Edition.

 

 

 

[ⓒ 알파경제. 무단전재-재배포 금지]