Kia “Definitely Needs” Smaller, Cheaper $25K EV1 To Fight VW ID.2

It’s only been a few days since Kia unveiled the EV2 Concept, giving us a preview of its new small electric SUV slated for 2026. Yet, already, the company is eyeing an even smaller EV. Details are still scarce, but this upcoming model might share the compact stature of the Kia Picanto and could debut as a concept early next year.

After the EV2’s reveal at Kia’s EV Day in Tarragona, Spain, CEO Ho Sung Song made it clear that the brand needs an electric vehicle that’s not only smaller, but also cheaper. This new model could be dubbed the EV1, and while General Motors may not be too happy Kia is using that name, the American company hasn’t held the EV1 trademark for several years.

Read: Kia EV2 Concept Previews Small Electric SUV For 2026 With Funky Styling

Kia has grand ambitions, as it wants to sell 1.6 million EVs globally by 2030. The company also targets a starting price of around €30,000 (~$31,400) for the EV2 in Europe. A cheaper and smaller EV will allow them to capture more “late majority” customers, following the “early majority” adopters who are expected to buy the EV2.

“I think the EV2’s major target is early majority customers,” he told Auto News. “But if we want to move to the late majority customer target, we definitely need a lower size and a lower price. We are internally studying what will be our entry EV product, apart from the EV2. And maybe at the next EV Day, we will show you.”

If Kia does intend to make it roughly the same size as a Picanto, it’ll likely need to use an even smaller version of the E-GMP platform and probably a smaller battery. Kia’s current EVs are sold in single- and dual-motor guises, but given that the EV1 could cost under €25,000 ($26,000), or roughly the same as the planned VW ID.2, there’s little chance of it being offered with a twin motor setup.