The Automotive Update: Kia’s new EV3 shines and the tariff effect
25 April 2025
Will the Kia EV3 celebrate success like its siblings, and how have tariffs impacted US vehicle sales? Plus, what does the latest data reveal about Tesla’s performance in Europe? Autovista24 editor Tom Geggus explores the week’s news stories in The Automotive Update podcast.
Kia expands its battery-electric vehicle (BEV) range, as new-vehicle sales in the US feel the impact of tariffs. Tesla tops the European BEV market, as manufacturers gathered at the Shanghai Auto Show to unveil new vehicles and concepts.
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Kia building on success with EV3
The latest entry in the Autovista24 Launch Report series examines the Kia EV3. The report incorporates insights from Autovista Group specialists, with an accompanying video presenting a road test of the EV3. The interactive dashboard evaluates its strengths, weaknesses, opportunities, and threats, alongside forecast residual values (RVs) against its rivals.
Kia has steadily and successfully expanded its battery-electric vehicle (BEV) portfolio in recent years, earning multiple accolades along the way.
The EV3 continues that winning streak. The model was recently named ‘World Car of the Year,’ following in the footsteps of its larger counterpart, the EV9. Prior to this, the Kia Telluride won the title in 2020.
The exterior design of the EV3, draws clear inspiration from its larger sibling, the EV9. It features a distinctive, angular form, accentuated by geometric body patterns. A floating roof effect visually lightens the side profile, contributing to the model’s modern and dynamic appearance.
Inside, the EV3 offers a refined and spacious cabin. The seats are generously bolstered for enhanced comfort, and the dashboard’s recessed layout creates additional legroom for front passengers. By mounting the gear selector on the steering column, Kia has eliminated the need for a bulky centre console.
The RV outlook for the EV3 is strong. According to benchmarking across Austria, France, Spain, and the UK, the model shows competitive value retention.
In Spain, for example, the EV3 ‘Earth’ trim with the 58kWh battery is forecast to retain 53% of its original list price after 36 months and 60,000km. This surpasses forecasts for key rivals, including the Skoda Elroq 60 (52% retention with a 63kWh battery), the Volvo EX30 Core (49% with 49kWh), and the Peugeot e-2008 Style (46% with 54kWh).
Tariffs and the US automotive market
In the US, the latest forecast from J.D. Power reveals new-vehicle sales results for April. The figures are dominated by the prospect of future price increases due to tariffs.
Total new-vehicle sales, including both retail and fleet, are projected to reach 1,519,897 units, representing a 10.5% increase, compared to April 2023. Retail sales alone are expected to rise by 14.7%, totalling 1,284,826 units.
‘Beginning at the end of March, and continuing through April, consumers have been accelerating their vehicle purchases under the expectation that prices will rise soon. An extra 83,000 sales in March and 139,000 in April have occurred due to accelerated vehicle purchases,’ explained Thomas King, president of the data and analytics division at J.D. Power.
However, several carmakers have indicated they plan to maintain stable manufacturer’s suggested retail prices throughout the early summer. As a result, combined with the ongoing uncertainty around tariff implementation, the initial sales surge has already begun to slow. While the first week of April saw sales pace 28% above seasonal norms, by the third week that figure had dropped to just 6%.
Looking ahead, King warns that the momentum may be difficult to maintain. ‘The potential for price increases in the coming months is meaningful and, if realised, will reduce the industry’s sales pace. Furthermore, the large number of buyers who purchased in late March and April instead of later in the year will create a further sales headwind in the coming months,’ he added.
Tesla on top in Europe BEV market
In February, the Tesla Model Y emerged as the top-selling BEV across Europe, achieving 9,173 registrations, according to data from EV Volumes. This success marked a return to the top for the crossover, which had previously ranked third in January.
Despite experiencing a substantial decrease in deliveries of 54.4% compared to the same period last year, the Model Y regained first place. Its registrations accounted for 5.5% of the total BEV sales for the month, representing a 9.6 percentage point decline compared to its market share in February 2024.
The Tesla Model Y outperformed its sibling model, the Tesla Model 3, by approximately two thousand units. The Model 3 recorded 6,972 registrations, indicating a 14.2% decrease from the registrations recorded one year ago.
Nevertheless, this was considered a positive outcome for the Model 3, which had finished 11th in January’s European BEV sales rankings. During February, it captured 4.2% of the total BEV market share, a decrease from 6.1% in the corresponding month in 2024.
Behind Tesla, February saw improvement from the likes of Renault and Volkswagen (VW). The Renault 5 claimed third place, with 6,264 deliveries, including those for the Alpine A290.
This combined total marked the hatchback’s best performance in terms of ranking and units sold since its registrations commenced in June of the previous year. It represented 3.8% of the total BEV market.
Shanghai Auto Show reveals
The biennial Shanghai Auto Show has attracted carmakers from across the globe, all ready to share their latest models and technologies.
VW launched three concept electric vehicles (EVs), the ID. Aura, ID. Era and ID. Evo. These concepts are part of a wider plan to introduce 30 new models to the Chinese market through the end of 2027.
Audi debuted five new production models including the A5L, the A5L Sportback, the Q5L, the A6L e-tron, and the AUDI E5 Sportback, the first production model of its new sister brand. BMW meanwhile, put its smart display and operating concept, BMW Panoramic iDrive, and the ‘Heart of Joy’ central computer centre stage.
There was plenty on display from Japanese manufacturers in Shanghai. Toyota premiered the new bz7, while Lexus revealed the ES. Honda presented the world premiere of the GAC Honda GT and Dongfeng Honda GT. Additionally, Nissan premiered its Frontier Pro plug-in hybrid alongside its N7 sedan, whilst Mazda unveiled its new EZ-60 Electric SUV.
From a domestic standpoint, BYD’s premium Denza line revealed the Z, a new electric supercar. Leapmotor displayed its all-electric B01 saloon, and MG revealed a boxy electric SUV concept titled the Cyber X.
