Kia Sorento PHEV range unlikely to grow

Kia Australia has pushed back against expanding its plug-in hybrid (PHEV) range, arguing that introducing more models would create complexity and pricing overlaps with its existing hybrid and electric vehicles.

Speaking to carsales at the launch of the new-generation Seltos, Kia Australia Chief Executive Officer Dennis Piccoli explained why the brand is reluctant to introduce additional plug-in hybrid models, despite the technology’s growing local popularity.

“For us, as a brand, introducing a PHEV is very difficult, only because if you have a look at our current lineup, whether it’s what we’re launching today versus an EV3 or a Sportage versus an EV5, the pricing patterns ... [are] way too close,” Piccoli said.

“It’s way too close to add another layer of complexity and throw another variant into the mix.”

The comments come as Australian buyers embrace plug-in hybrids in record numbers, with 85,278 PHEVs sold in the first nine months of 2026, representing a 124 per cent increase compared with the same period last year.

Much of that growth has been driven by brands such as BYD, GWM and Geely, which have embraced the technology as a stepping stone between conventional petrol-powered vehicles and fully electric cars.

Plug-in hybrids have also become increasingly attractive to manufacturers under Australia’s New Vehicle Efficiency Standard (NVES), which sets emissions targets for car-makers and penalises those exceeding their limits.

While PHEVs still produce tailpipe emissions, their comparatively low official emissions figures can help manufacturers meet those targets without committing entirely to battery-electric vehicles.

Even Toyota, which has spent more than two decades championing conventional hybrid technology, introduced its first Australian-market PHEV earlier this year in the form of the new-generation RAV4.

The move has already paid off, with plug-in hybrids accounting for 39 per cent of RAV4 sales in July before settling at around 30 per cent in September.

Toyota is now preparing to expand the range with a more affordable GXL plug-in hybrid variant in early 2027.

Interestingly, Kia already offers a plug-in hybrid version of the Sportage overseas, which would compete directly with the RAV4 PHEV in Australia’s popular medium SUV segment.

However, despite the early success of Toyota’s plug-in hybrid, Kia has opted against introducing the electrified Sportage locally, instead concentrating on expanding its conventional hybrid range.

Despite offering one of Australia’s broadest vehicle lineups, spanning small hatchbacks, SUVs, people-movers, utes and electric vans, the Korean brand is concentrating its electrification efforts on conventional hybrids and fully electric vehicles.

It previously offered the Niro PHEV, but discontinued the model locally, leaving the larger Sorento as its only remaining plug-in hybrid.

When asked who was buying the Sorento PHEV, Piccoli offered a blunt response: “Not enough people.”

“Every organisation has limited resources. We need to make a decision as to which direction we want to go in, what segments we want to focus in and what powertrains we want to go after,” Piccoli said.

“So when you’re trying to decipher strategically where you want to go in 2027, our focus is really hybrid, the EV, and larger segments. And the plug-in hybrid Sorento will continue to be there.”

Kia also pointed to the growing popularity of its fully electric models, including the EV3, EV5 and PV5 van, as evidence that battery-electric vehicles remain a viable alternative to plug-in hybrids.

While Kia has no immediate plans to expand its plug-in hybrid range, its electric vehicle line-up is set to grow over the next 12 months.

The seven-seat PV5 Passenger is due to arrive in the coming months, joining the PV5 Cargo already on sale, while the larger PV7 electric van and people-mover has been confirmed for an Australian launch in 2027.

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