Kia is preparing to launch its Tesla Model Y rivalling EV5 electric SUV later this year with a sharp price.
The brand’s local boss Damien Meredith confirmed the car maker is targeting a circa-$60,000 starting price for the new mid-size electric SUV.
The mid-size Kia EV5 is due to land in showrooms later this year.
This price undercuts the market leading Tesla Model Y by about $5000.
“The target pricing is around that [$60,000].” says Meredith.
“Whether it’s $59,990 or $61,950 doesn’t really matter greatly to the customer,” he says.
“I think people accept what our pricing is and they believe that we’re still great value for what we give to the product.”
The brand believes the arrival of the EV5 later this year will double its sales of electric vehicles locally and account for roughly eight per cent of its total sales or more than 6000 cars.
Kia is aiming for a starting price of $60,000.
“I think the EV5 is going to be really exciting for us and give us the critical mass in the EV market that we haven’t got yet,” says Meredith.
Despite the growth Kia will still trail Tesla by a wide margin. In 2023 Tesla sold more than 46,000 vehicles and more than 28,000 Model Ys.
The EV5 will be available with two battery sizes.
The EV5 was revealed late in 2023 and Kia says the car will be built on a dedicated EV platform, with a 64kWh battery mated to a 160kW motor delivering about 530 kilometres of range.
A premium version will pair an 88kWh battery with the same motor to deliver about 720km of range, while an all-wheel-drive version marries the big battery with a 160kW front motor and 70kW rear motor to deliver 230kW of punch and 650km of range.
Kia is expecting the EV5 to double its sales of electric vehicles in Australia.
The EV5 will have vehicle-to-load capabilities which allow owners to power household items via a conventional household power socket located in the vehicle.
It will also have vehicle-to-grid functions that allow the vehicle to power homes and send energy back to the grid.
The interior is expected to have plenty of luxe and hi-tech features.
This allows owners to charge up the car during the day when not in use via rooftop solar and then power their homes at night for free.
Batteries fitted to electric cars often have more than four times the capacity of regular home batteries such as the Tesla Powerwall.
The EV5 will share its styling with the recently launched EV9 seven-seat electric SUV and will have plenty of tech features included as standard.
The EV5 will borrow styling cues from the recently launched EV9.
Kia is on the electric car offensive as it prepares to launch 14 battery electric vehicles by 2027 and sell 1.2m electrified vehicles a year by 2030.