Kia Corporation, South Korea's second-largest automaker owned by Hyundai Motor Group, reported a 23% drop in net profit to KRW 7.55 trillion (US$ 5.3 billion) in 2025, blamed largely on the impact of the US import tariffs introduced last April. Revenue rose 6.2% to a record KRW 114.1 trillion (US$ 80 billion), with global vehicle sales rising by 1.5% to 3.14 million units. Strong demand for hybrid models helped increase average selling prices. Sales of electrified vehicles, including hybrids and battery e ...

Group 1 - The core viewpoint is that multinational automakers are planning to launch more affordable electric vehicles in response to the growing presence of Chinese electric vehicle brands in the European market [2][5][8] Group 2 - Kia's new entry-level model, the EV2, will debut on January 9, 2026, at the Brussels Motor Show, positioned as the smallest and cheapest electric vehicle from Kia, with an expected price around €30,000 [3] - Volkswagen's classic small car, Polo, will return as an electric model named ID. Polo, built on the new MEB+ platform, with a planned launch in spring 2026 at a starting price of €25,000 [4] - Other automakers like Renault, Nissan, Hyundai, and Ford are also set to introduce more economical electric vehicle models in 2026 [6] Group 3 - Renault plans to launch a new electric Twingo in early 2026, incorporating elements from the classic 1990s model, with a price below €20,000, relying on Chinese market components for about 40% of its parts [7] Group 4 - Despite potential tariff increases, Chinese brands are expected to continue their strong performance in the European market, with total registrations in the broad European market reaching 12.099 million units from January to November 2025, a 1.9% increase year-on-year [8] - Electric vehicles are a major growth driver, with pure electric vehicle sales reaching 2.276 million units, a 27.4% year-on-year increase, and plug-in hybrid sales at 1.149 million units, up 33.1% [8] - Volkswagen Group remains the market leader with a 27% share, but two Chinese companies, SAIC (mainly MG) and BYD, have entered the top ten in sales, with SAIC selling 274,000 units (up 26.1%) and BYD selling 160,000 units (up 276%) [8][9] Group 5 - Smaller Chinese automakers have shown even more remarkable growth, with Leap Motor's electric vehicle sales in Europe surging over 4000% year-on-year, and Chery's Omoda brand experiencing an 1100% increase [10]