Kia will discontinue the Niro Plug-In Hybrid (PHEV) for the 2026 model year. The company confirmed this decision, citing shifts in consumer demand as the primary reason.
Market Trends and Sales Data
The move reflects a broader trend in the automotive industry, where plug-in hybrids are facing increasing pressure from both fully electric vehicles (EVs) and traditional gasoline models. Kia sold roughly 31,000 Niro vehicles in the US last year. The PHEV version accounted for the smallest percentage of those sales, though exact numbers were not disclosed.
The decision to drop the PHEV is part of a larger restructuring at Kia, which plans to eliminate nine vehicle models by 2027. This suggests the company is streamlining its lineup to focus on higher-demand segments.
Why This Matters
The discontinuation of the Niro PHEV highlights a growing consumer preference toward either fully electric cars or conventional gasoline vehicles. While PHEVs offer a bridge between the two, their market share has been shrinking.
This isn’t an isolated incident; several automakers are trimming their PHEV options.
The decision to keep the gas-powered Niro and the Niro EV suggests Kia believes those models have stronger long-term viability in the US market.
Future Outlook
Consumers interested in a plug-in hybrid from Kia will no longer have that option in the US after 2026. The company’s move underscores the evolving automotive landscape, where automakers are aggressively shifting toward either full electrification or consolidating their gasoline lineups.
The future of plug-in hybrids remains uncertain, as manufacturers continue to re-evaluate their product strategies in response to shifting consumer preferences and regulatory changes.
