Kia EV2 Australian prospects fading
Kia’s smallest and newest EV has a pricing challengeThe News
The 2026 Kia EV2, unveiled last month at the Brussels motor show, is adding up to be too expensive to be viable for Australia.
The Key Details
- Kia EV2 chances for Australia diminishing
- Business case struggling to stack up because of transport costs from Slovakia
- Would likely be no cheaper than the larger EV3 that’s sourced from Korea
The Finer Details
At the core of the issue is its manufacturing site in Slovakia (central Europe), which massively inflates the transport costs to Australia.
The same sourcing issue affects the viability of the Kia EV4 hatch and EV4 GT for our market, but they have more pricing room to move with and are still a chance to come here.
carsales understands, however, the EV2 would be unlikely to be priced below Kia Australia’s current entry-level EV, the (bigger) EV3 compact SUV.
Kia’s enthusiasm for the EV2 (and the EV4) was raised because it could be accessed without incurring the five per cent tariff imposed on most new vehicles imported from Europe.
EVs get dispensation under a provision of the Electric Car Discount bill that also provides an exemption for EVs purchased via a novated lease.
“We’re still doing the number crunching,” Kia Australia product chief Roland Rivero said.
“But it’s important for us to consider EV2 feasible for Australia, that it has to be positioned below EV3.”
EV3 pricing starts at $47,600 plus on-road costs for the Air Standard Range.
That’s already a premium price to pay against the Chinese compact electric SUVs that start as low as $31,990 plus on-road costs for the BYD Atto 2 Dynamic.
The EV3 is 240mm longer than the 4060mm EV2 at 4300mm and comes with a larger 58.3kWh battery for its base model.
A choice of two battery packs will be offered with EV2, including a 42.2kWh unit good for up to 317km range and a larger 61kWh battery pack thought to offer around 448km (WLTP pending).
Inside, the EV2 will come with ‘eco-friendly’ materials and a triple screen set-up, comprising dual 12.3-inch screens that sit either side of a 5.3-inch climate-specific display.
The Road Ahead
EV2 Standard Range production begins in Slovakia this month with Long Range and GT-Line variants scheduled for mid-year.
If the EV2 is looking dicey, then the chances are the even smaller EV1, also scheduled for Slovakian production, is even less likely to get the Australian sign-off.
The Picanto-sized mini-car was first teased by Kia global president Ho-sung Song, but isn’t likely to be seen before 2028-29.
Related: Kia EV2 debuts overseas
Related: Kia EV4 hatch, EV2 SUV and micro EV1 set for Aus
Related: Doubts surround 2026 Kia EV2 heading Down Under
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