Kia Sportage Hybrid to be priced from under $50K

Kia Australia has confirmed it will offer two new hybrid versions of the popular 2024 Kia Sportage from next month, with pricing set to start under $50,000 before on-road costs.

The first Kia Sportage Hybrid was revealed in Korea in 2021 and confirmed for Australian release 12 months ago.

Now Kia Australia says it expects to receive more stocks of the hybrid Sportage than the existing Kia Sorento Hybrid and the upcoming Kia Carnival Hybrid, potentially allowing it to pinch significant sales from the all-conquering Toyota RAV4 Hybrid, which dominates the mid-size SUV segment and attracts long waiting lists.

The additional allocation brings with it scope to offer an entry-level SX-level version of the electrified Sportage, as well as a flagship GT-Line grade, say Kia officials.

Kia Australia product planning general manager Roland Rivero also confirmed the Sportage Hybrid will be front-wheel drive only, as we previously reported.

“There will be two variants of Sportage Hybrid. Unlike Sorento and Carnival we might be able to get a little bit better supply on the Sportage side so that we can attack both retail and fleet,” Rivero said.

“At the moment, what’s been developed for Australia is strictly front-wheel drive,” he added.

“For Sportage Hybrid we were told that we could do 300 to 400 examples a month and when we were told that, we developed a fleet-friendly SX Hybrid entry model and a top-of-the-line GT-Line for retail.

“Originally we were only going to get a GT-Line but the factory is saying we will get a bit more supply.”

Lifted straight out of the bigger Kia Sorento Hybrid, the Sportage’s electrified powertrain pairs a 132kW/265Nm 1.6-litre turbo-petrol engine with a 44kW/264Nm electric motor for combined outputs of 169kW/350Nm.

That makes the Sportage Hybrid more powerful than both the RAV4 Hybrid (160kW) and the Nissan X-TRAIL e-POWER (157kW), but it can’t match the Haval H6 Hybrid which churns out 179kW/510Nm.

The petrol-electric Sportage’s combined-cycle fuel economy claim of 5.9L/100km is also higher than the RAV4 Hybrid (4.7L/100km) and H6 Hybrid (5.2L/100km), but sits below the X-TRAIL e-POWER (6.6L/100km).

Where the Sportage Hybrid won’t compete with the RAV4 Hybrid is on pricing, with Rivero conceding Kia cannot match the price points offered by hybrid juggernaut Toyota.

“We don’t have the kind of [price] premiums that Toyota has. Whereas they only charge about $2500 for the hybrid equivalent, we’re closer to $5000 – about double that,” he said.

“We can’t achieve the kind of pricing that Toyota applies and we probably haven’t had the hybrid history they’ve had. But there is an electrification angle that has become more of a priority than hybrid.”

Whereas the RAV4 Hybrid range currently starts at $42,260 plus on-road costs for the GX, Rivero indicated an SX Hybrid grade of the Sportage would be priced at about $48,000 before on-road costs – a circa $4000 premium over the 1.6-litre turbo-petrol equivalent.

“There will be a bit of a subtraction from the $5000 premium I’ve mentioned when you take into account the regular SX is all-wheel drive and the hybrid equivalent is only front-drive,” Rivero explained.

The Sportage Hybrid news comes as Kia works through a massive backlog of about 10,000 Sportage orders in Australia, mostly comprising 1.6-litre turbo-petrol variants.

Sportage sales were down 16 per cent in 2023 as Kia struggled to meet demand.

“We’ve had a lot of customers that have not received cars dating back 12 to 18 months,” Rivero said.

“We’ve had big issues sourcing the 1.6-litre petrol because it is being heavily utilised across so many models. The factory struggles to get enough of it and it is affecting Sportage 1.6-litre turbo models.”

The general supply issues affecting Sportage are set to be addressed in 2024, officials say.

Kia Australia chief operating officer Dennis Piccoli said discussions with Kia head office around supply were ongoing.

“There’s an ongoing communication and negotiation process with head office to try and source some extra cars where we can because we recognise there’s a pretty healthy order bank behind it,” he said of the Sportage.

“If we can get a few more then we’re in a pretty good position to take advantage of it.”

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