Hybrids, ICE to underpin Genesis’ future

Genesis has well and truly retreated from its EV-only near-term future and is now planning a broader powertrain line-up that incorporates hybrid, internal combustion and battery-electric vehicles.

The move is a dramatic scaling back of the previous promise to only sell EVs from 2025, something that’s become increasingly challenging as EV hesitation kicks in.

A recent slowdown in EV growth and increased interest in hybrids means Genesis is pivoting towards a mid-term future that incorporates a broader range of drivetrains to cater to different markets and demands.

The shift brings Genesis closer into line with luxury market leader BMW, which has long advocated for offering buyers choice of multiple powertrains rather than locking in an EV-only future.

Speaking at the opening of the brand’s new flagship store in western Sydney, global Genesis chief Mike Song said hybrids would become a key part of the marque’s portfolio moving forward.

“Everything is on the table,” he said. “It’s the customer who chooses the right fit for their needs. The need for EV – including hybrid – is growing.”

Song confirmed the company was developing next-generation vehicles that would cover all powertrain options: EV, ICE and hybrid.

While there will still be dedicated EV options – the GV60 among them – the brand is covering its bases with other models.

That said, Song made it clear it’s inevitable Genesis will be EV only eventually, albeit a decade or more after the initial 2025 timeframe.

“We still believe one day in the future – we don’t know when – it will be 100 per cent EV.”

However, while the powertrain mix for Genesis is likely to broaden, don’t expect the model line-up to follow suit.

Song has no plans to chase heavy hitters such as BMW and Mercedes-Benz in the luxury sales race, instead preferring to focus on building strong relationships with a smaller pool of customers and excel with the customer experience.

“We don’t think like one million (cars) in 10 years, two million (cars) in 20 (years),” he said.

“We do it our own way. We need to build a strong relationship with our customers.”

And rather than spread the model range to smaller models and niche vehicles, he believes the current Genesis line-up of GV60, GV70, GV80, G70 and G80 is “adequate”.

“Providing more options to the customer is not always right,” he said. “Too much choice on the table, sometimes it confuses the customer.”

However, fresh from a drop in local sales in 2024 he is aware that Genesis needs to boost its brand recognition, something that prompted the new flagship dealership, the first of more Genesis dealers around the country.

“Brand awareness is probably the biggest challenge we have,” Genesis Australia product planning chief Andrew Tuitahi said.

Join the conversation at our Facebook page
Or email us at editor@carsales.com.au