Hyundai dramatically cuts Ioniq 5 prices in the US
Hyundai is reducing prices across the entire 2026 Ioniq 5 range, with the base model now starting at an attention-grabbing £25,500. The dramatic price cuts come just as the federal tax credits for many EVs have fizzled out, suddenly making the Ioniq 5 a very desirable EV.
The price cuts are really big across the entire Ioniq 5 lineup, with savings reaching as high as £7,100 on certain trims. The entry-level 2026 Ioniq 5 RWD Standard Range sees its price fall by £5,500 from the 2025 model's starting price of £31,000. The extended-range SE and SEL models now slide in under the £29,000 mark.
Even the rugged, off-road-inspired XRT variant gets a discount of £6,715, bringing its new price to a more tempting £33,684. This new pricing structure puts the Ioniq 5 in competition with other budget-friendly EVs, such as the Chevrolet Equinox EV.
According to Hyundai, this isn't a temporary sale but a change of strategy. The price reduction is a direct result of increased efficiency and cost savings from its new manufacturing hub, the Hyundai Motor Group Metaplant America (HMGMA) in Georgia.
As the company ramps up local production of the Ioniq 5 and the larger Ioniq 9 electric SUV, it is passing those savings directly to customers. Hyundai stated the price cuts reflect its "commitment to affordability and its long-term EV strategy." By making one of its most awarded electric cars cheaper, the company hopes to maintain its sales momentum.
And that momentum is already quite strong. The Ioniq 5 is coming off its best third-quarter sales period to date, with sales jumping 90% compared to the same time last year, totaling nearly 22,000 vehicles sold. For the year, Hyundai has sold 41,091 Ioniq 5 models in the United States through September - a 35% increase over the previous year.
What else is new for the 2026 model year? The answer is: not much. The 2026 Hyundai Ioniq 5 is largely a carry-over model, meaning its design, features, and performance remain unchanged from the 2025 version. Buyers will still get the same distinctive styling and capable platform.
The standard range model offers up to 245 miles on a full charge, and the long-range rear-wheel-drive version delivers 318 miles. The only minor updates for the new model year are the inclusion of a new L1/L2 charging cable and the addition of a Sage Silver Matte paint color to the options list.
2026 Ioniq 5 prices (US market):
| 2025 Starting Price | 2026 Starting Price | Price Reduction | |
|---|---|---|---|
| Ioniq 5 SE RWD Standard Range | $42,600 | $35,000 | $7,600 |
| Ioniq 5 SE RWD | $46,650 | $37,500 | $9,150 |
| Ioniq 5 SEL RWD | $49,600 | $39,800 | $9,800 |
| Ioniq 5 Limited RWD | $54,300 | $45,075 | $9,225 |
| Ioniq 5 SE Dual Motor AWD | $50,150 | $41,000 | $9,150 |
| Ioniq 5 SEL Dual Motor AWD | $53,100 | $43,300 | $9,800 |
| Ioniq 5 XRT Dual Motor AWD | $55,500 | $46,275 | $9,225 |
| Ioniq 5 Limited Dual Motor AWD | $58,200 | $48,975 | $9,225 |
Although a key £5,500 federal tax credit expired at the end of September, the company is extending a £5,500 cash incentive on remaining 2025 Ioniq 5 models through at least October, bridging the gap until the lower-priced 2026 vehicles arrive. For consumers, the message is clear: whether through direct incentives now or a lower sticker price soon, the Hyundai Ioniq 5 is one of the most compelling propositions in the EV market.
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