Hyundai has ceased manufacturing new Kona EVs for sale in its domestic market. The brand’s best-selling electric vehicle to date has been tainted by a wide-ranging recall following battery fires.
The company will sell the Kona EVs it has in stock but has stopped producing new ones for South Korea, reports Yonhap News Agency. Hyundai will continue to sell the electric vehicle overseas.
“The production of Kona EVs has been halted since March in consideration of the domestic demand and to realign the assembly line for new EVs,” a Hyundai spokesperson told YNH. “[The company] will continue to export Kona EVs to overseas markets.”
Since reports of fires about the Kona EV came out, sales in Korea have dropped. Hyundai sold 8,000 Kona EVs in 2020, down from more than 10,000 in both 2019 and 2018. First-quarter sales in 2021, meanwhile, are down 40%. Overseas sales have not been affected to the same degree, though they did fall nearly 18% in Q1 2021.
Read More: Kona EV Owners Aren’t Happy With How Hyundai Is Handling The Recall
Hyundai first recalled the Kona EV in October 2020. The company initially tried to fix the issue with a software update but eventually conceded that repairs could include completely replacing the battery pack.
Around the world, the recall could affect up to 100,000 units and cost Hyundai $900 million.
Nevertheless, Hyundai is moving forward with its electric push, having introduced the Ioniq 5. Despite the Kona EV recall, domestic response to the Ioniq5 has been strong.
