Kia plans to equip its popular midsize SUV, the Telluride, with an Extended Range Electric Vehicle (EREV) system in the United States. Unlike existing hybrid vehicles that primarily rely on gasoline engines and use batteries as a supplementary power source, the EREV system operates in a fundamentally different manner.

This system utilizes a large-capacity battery as the primary propulsion source, while the engine serves solely as a generator to recharge the battery. This approach significantly increases driving range in a more environmentally friendly manner.

Currently, pure electric vehicles typically achieve a driving range of about 310 miles on a single charge. However, EREV technology can reach or exceed a remarkable 620 miles.

Experts view this method as highly effective in the North American market, where long-distance travel is common and charging infrastructure is still developing. The Hyundai Motor Group has already implemented EREV technology in its midsize SUVs, including the Hyundai Santa Fe and Genesis GV70.

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In contrast, the larger and heavier Telluride is paving the way for hybrid electrification. Hyundai has equipped the Palisade with the advanced TMED2 hybrid system, advancing the electrification of midsize SUVs.

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The Hyundai Motor Group announced that mass production of EREV vehicles will begin by the end of 2026 in North America and China. This strategic move comes as demand for large SUVs rises alongside increasing regulatory pressures for eco-friendly transportation solutions.

In the first quarter of 2025, nearly 29,000 units sold, surpassing the Chevrolet Tahoe, showcasing the Telluride's potential in the U.S. market. The transition to EREV models is expected to position Kia as a leading eco-friendly SUV in a large SUV market currently dominated by gasoline engines, including the Toyota Grand Highlander, GMC Yukon, and Chevrolet Suburban.

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The Hyundai Motor Group may utilize its dedicated electric vehicle plant, HMGMA, to produce vehicles like the Telluride, Santa Fe, and GV70 equipped with EREV technology. Initially built exclusively for pure electric vehicles, the facility is expected to expand production to include EREV and next-generation hybrid models due to rising demand.

Additionally, Hyundai's TE and Kia's TV projects plan to technically expand EREV applications to future models, with launch timelines expected after 2028. The EREV system is not solely Kia's initiative; major global automakers are also investing in developing EREV systems as a more efficient and practical alternative to existing hybrids and pure electric vehicle models.

Stellantis is developing an EREV with a driving range of 683 miles for the Ram 1500 pickup, while Ford prioritizes EREV over pure electric vehicles in its large SUV and truck lineup. Volkswagen, which has invested in plug-in hybrids, is also undergoing a transformation, announcing plans to enter the EREV market by 2026, signaling a broader industry shift.

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