Local Assembly Not Happening For Kia EV6, Won’t Be As Affordable As Hyundai Ioniq 5 For Now

• Kia EV6 is already on sale in India at prices starting from Rs 60.95 lakh (ex-showroom). 

• Its platform sibling, the Ioniq 5 EV, costs 44.95 lakh and undercuts the EV6 by massive Rs 16 lakh. 

• The EV6 offers a bigger battery pack at 77.6kWh, good for up to 708km ARAI-claimed range. 

• Offered in the GT Line trim level with rear-drive (RWD) and all-wheel drive (AWD) variants. 

• Local assembly could reduce the EV6’s price by a few lakhs. 

The Kia EV6 is arguably a compelling electric hatchback, offering premium features alongside a long driving range and looks like nothing else on the road. In fact, it recently won ICOTY’s Green Car Of The Year Award. But even with the best of intentions, it’s hard to admit it is a pricey EV, given its lofty starting price of Rs 60.95 lakh. Unfortunately, that isn’t likely to change anytime soon since the carmaker has confirmed that the EV6 will not be locally assembled for now in India. 

The EV6 is currently being imported in the form of fully built-up units (CBUs), which are simply sent off to the respective dealerships to be delivered to customers. However, CBU imports attract the highest tax rates and import duties in India, even if they are zero-emission EVs. 

On the other hand, cars that are manufactured overseas but brought into India as complete knock-down kits (CKDs) to be locally assembled in the country are subjected to a lower rate of taxes compared to CBUs. Thus, fully imported models cost more than cars that are locally assembled in the country. 

Hyundai Ioniq 5 EV

Hyundai has adopted the same CKD route for its Ioniq 5, which is the Kia EV6’s platform sibling. Despite being produced overseas, local assembly has helped bring down the Ioniq 5 EV’s price to Rs 44.95 lakh (ex-showroom). The Hyundai EV is sold in its long-range, rear-drive (RWD) variant in India, with a slightly smaller, but comparable 72.6kWh battery as the Kia EV6. 

It’s evident that with its pricing, the EV6 ventures into premium car territory, competing for space with EVs such as the BMW i4, as well as highly competitive ICE models that include the Mercedes E-Class sedan and Audi Q5. On the other hand, the Ioniq 5, with its mouth-watering sticker price, makes a compelling case for itself. 

Local assembly can go a long way towards reducing the price of these global models, and it has worked for EVs such as the Mercedes EQS, helping it undercut the ICE S-Class by Rs 9 lakh. Similarly, the locally assembled Volvo XC40 Recharge is another EV that’s more affordable than its EV6 segment rival. 

• Auto Expo 2023: Hyundai Ioniq 5 EV Launched In India At Rs 44.95 Lakh

• ICOTY 2023: Kia Carens Takes The Crown For Indian Car Of The Year 2023

• Auto Expo 2023: Kia EV9 Electric SUV Concept Showcased

The Kia EV6 continues to be a compelling premium EV despite its price. But with mounting competition from its own stablemate as well as upcoming electric models in the segment, it remains to be seen how the Korean EV will keep its value proposition intact. Also, Kia could consider locally assembling the EV6 in the market, considering that it has a high number of takers and the demand exceeds the allotment for India.