Kia developing a new electric model below EV2 with target price under CAD 40,000
CEO confirms project is underway but launch likely near decade’s end
Future model inspired by minimalist design, supported by flexible 800V SDV architecture.
Kia plans to introduce a new electric vehicle priced below $30,000 (CAD $ 40,000), positioning it beneath the upcoming EV2 in its expanding EV portfolio.
The unnamed model, likely the EV1, remains in development and is expected to launch toward the end of the decade. Kia presented the EV2 concept during its EV Day event in April 2025, previewing a production version targeted for 2026. The EV2 was revealed alongside the EV4 electric sedan and hatchback, as well as the PV5 commercial van.
Kia is looking to expand its EV lineup; lower the price of entry
Kia president and CEO Ho Sung Song confirmed in an interview that the company is developing an EV below the EV2’s segment, referring to it as “homework” for the company. Song noted that the automaker is studying how to achieve the €25,000 (approximately US$30,000 / CDN$40,000) price target while maintaining viability in the segment.
Design director Karim Habib said the new affordable model is drawing inspiration from Japanese lifestyle brand Muji, known for its minimalist design approach. Kia is leveraging its new software-defined vehicle (SDV) architecture, featuring an 800V platform that allows more flexibility by separating hardware and software development.
In addition to the EV2, Kia is rolling out the EV4 and EV5 (headed to Canada in 2026) in 2025. Updated versions of the EV6 and EV9 are also scheduled for release by the end of the decade, based on the new SDV platform.
News of the EV1’s existence dates back to September 2024, when we first reported on Kia’s future EV plans.
Source: electrek
