The South Korean automaker, Hyundai, is taking significant steps in the hybrid vehicle market as a part of its bigger electrification strategy. While the company continues to innovate in electric vehicles or EVs, it has come to recognize that the transition to fully electric cars will take time.
This realization, along with the slowdown in EV demand, has prompted Hyundai to renew its focus on hybrid technology. The company has decided to invest heavily in the development of new hybrid technologies as well as introduce more Hyundai hybrid models.
Are you interested in knowing what more this reliable automaker has for its buyers? If so, keep reading to learn what Hyundai is up to.
Hyundai’s Hybrid Expansion
The introduction of electric vehicles took the world by storm. People across the globe started preferring a more eco-friendly ride to save the planet. However, in recent times, the demand for EVs has gone down compared to previous years due to several reasons, including global economic uncertainties, supply chain disruptions, and the high cost of electric vehicles.
Consumers, mainly in North American and European markets, are increasingly hesitant to fully commit to EVs due to concerns over the premium prices of electric cars and charging infrastructure. This abrupt slowdown in EV demand is seen as a wake-up call by many automakers, accepting that it will be quite sometime before EVs take over completely.
Most drivers out there prefer a ride that is good for the environment but also gives them the familiarity of the gas-powered engine. And this is where hybrid vehicles come into the picture.
Doubling the Hybrid Lineup
Understanding this preference from its buyers, Hyundai plans to double its existing hybrid lineup. The company has announced to launch a total of 14 new hybrid models across both Hyundai and its luxury brand, Genesis, by 2025.
This ambition of the South Korean automaker marks a substantial increase from their current offerings. This new vision of Hyundai showcases the brand’s commitment to providing a diverse range of options from a Hyundai hybrid SUV, sedan, pickup, and more for consumers who are not yet ready to fully transition to electric rides.
Genesis Goes Hybrid
The luxury car brand of Hyundai, Genesis, which has focused on electrification for quite some time, will also see an expansion in its hybrid offerings. Hyundai has announced that by 2025, every Genesis model lineup, except for those that are purely electric, will come with a hybrid option.
So if you are someone who is looking to buy reliable, safe, affordable luxury cars, Genesis might be the way to go.
New Hyundai Hybrid Strategy For The Next-Generation Technologies
Hyundai is not simply making the transition of building hybrid sedans, SUVs, or pickups from fully electric. This automaker is taking it to the next level by developing a next-generation hybrid system called TMED-II.
TMED-II Hybrid System
The TMED-II is a new generation of Hyundai’s hybrid technology. This technology is set to replace Hyundai’s current hybrid technology by next year. This advanced technology will feature smart regenrative braking and vehicle-to-load (V2L) capabilities, allowing automobiles to power external devices, a feature that is generally found in EVs.
This new system is expected to be integrated into production vehicles of both Hyundai and Genesis beginning in January 2025.
Take a closer look at this innovative Hyundai technology below:
- The TMED-II system is specifically designed to optimize the power distribution between the internal combustion engine and the electric motor. This results in a more efficient use of fuel and electric power, reducing the overall fuel consumption and emissions of the ride while maintaining strong performance.
- This technology also includes an advanced regenrative braking system that captures and stores energy (generated during braking) more effectively. This energy is then used to recharge the battery, increasing the vehicle’s electric range and further boosting its gas mileage.
- The Vehicle-to-Load (V2L) capability of this system is a standout feature. It allows the Hyundai hybrid sedan and others to power external sources. The inclusion of this EV-only feature in hybrids provides additional utility for users, especially in situations where they might need external power sources, such as camping or emergency scenarios.
- This advanced technology ensures a seamless transition between the electric motor and the internal combustion engine. As a result, you get a smoother driving experience with fewer noticeable shifts in power sources. It will be a big win for Hyundai, as noticeable shifts in power sources are a common complaint with older hybrid systems.
- This system intelligently manages energy usage by predicting your driving conditions and optimizing the use of electric power over gasoline. This gives you a more responsive and refined driving experience.
- The TMED-II system reduces the wear and tear on the internal combustion engine by relying more on the electric motor, especially during low-speed driving and stop-start conditions. This smartness can potentially extend the lifespan of the vehicle and reduce its maintenance costs over time.
- This system also boasts intelligent energy management that helps extend battery life by optimizing charging cycles and preventing overuse during conditions that could strain the battery.
- The TMED-II system plays a crucial role in Hyundai’s sustainability strategy by contributing to lower emissions across its vehicle lineup.
Target Markets and Production
The demand for hybrid vehicles is on the rise worldwide, and Hyundai aims to meet this growing demand, especially in North America, where the company anticipates selling approximately 690,000 hybrids annually by 2030.
Hyundai is exclusively aiming for the North American automotive market because its top competitors like Toyota and Ford are also raving up their hybrid offerings. This is going to create a dynamic market where Hyundai’s innovations in hybrid technology could give it a significant edge.
To support this impressive vision, Hyundai has already secured a versatile production system and parts supply network, leveraging its global factories to build both Hyundai hybrids and EVs.
Extended-Range Electric Vehicles (EREVs)
In its broader electrification strategy, Hyundai also includes the development of extended-range electric vehicles (EREVs). The EREVs combine the benefits of both internal combustion engines and electric powertrains. These automobiles are designed to offer you an EV-like driving experience while using a gasoline engine as a sole generator to power the battery, providing a combined range of over 560 miles.
Hyundai’s first EREVs are expected to be launched in 2027 in North America and China. Sure, the time seems too far away, but I cannot wait to see what impressive thing Hyundai does with its all-new and innovative EREVs lineup.
Future Outlook Of Hyundai Hybrid
To implement its new hybrid or electrification strategy, Hyundai is investing approximately KRW 120.5 trillion (~USD 133 billion) over the next decade, with a substantial portion dedicated to research and development. The company aims to achieve equal profit margins across its entire powertrain lineup by 2030.
In addition, Hyundai plans to sell 1.33 million hybrids annually by 2028, with primary focus on the North American market, where hybrid demand is expected to surge.
Hyundai’s hybrid expansion is anticipated to solidify its position as a leader in the global automotive industry, as it is going to cater to a wide range of customers, from budget-conscious buyers to luxury car enthusiasts.
In conclusion, Hyundai’s new electrification strategy that aims to boost hybrid production and new hybrid technology reflects its balanced approach to the future of transportation.
Hyundai is all set to offer a diverse range of powertrain options to meet the varying consumer needs. In addition, with significant investments and technological advancements, this automaker is well-positioned to lead the hybrid market while preparing for the eventual shift to electric vehicles.
FAQs on Hyundai’s Hybrid Models
What are Hyundai’s plans for extending its hybrid vehicle lineup?
Hyundai is planning to double its current hybrid lineup by introducing 14 new models by 2025. So, if you were content with Hyundai Santa Fe Hybrid along with Kona and Tucson hybrid, you have a treat coming your way.
The Hyundai company’s expansion includes vehicles from both the Hyundai brand and its luxury division, Genesis. All the new models will feature the next-generation TMED-II hybrid system, offering advanced features like smart regenerative braking and vehicle-to-load (V2L) technology.
How much is Hyundai investing in its electrification strategy?
Hyundai is investing around $133 billion, approximately KRW 120.5 trillion, from 2024 to 2030 into its electrification strategy. This investment is focused on building hybrid vehicles and on research and development to support the expansion of this brand’s hybrid and electric vehicle lineups.
What is the TMED-II hybrid system?
The TMED-II is Hyundai’s next-generation hybrid technology. This technology is set to debut in production vehicles by January 2025. It comes with impressive features like mart regenerative braking and V2L technology and will replace both Genesis and Hyundai’s existing hybrid systems.
Will Genesis models be available as hybrids?
YES. Hyundai has made it pretty clear in its latest announcement that all Genesis models, except those that are purely electric, will have hybrid variants by 2025. This is a significant part of Hyundai’s strategy to expand its hybrid offerings across all vehicle segments.
What are the key features of Hyundai’s future hybrid vehicles?
The future Hyundai hybrid vehicles will come with advanced features like smart regenerative braking, V2L technology, and a next-generation hybrid system. All these technologies will help the vehicles in powering external devices and enhance their overall efficiency and performance.
Why is Hyundai focusing on hybrids when EVs are the future?
Hyundai acknowledges that while EVs represent the future of transportation, not all consumers or buyers are ready to transition to vehicles that run fully on electricity.
Therefore, this popular automaker is now focusing on hybrids as an intermediate solution amid the stagnation in EV demands and providing people with a more accessible and familiar option to help them with the ultimate transition.
