Hyundai Motor Company has officially refuted recent reports suggesting it plans to raise vehicle prices in the United States in response to the Trump administration’s newly imposed 25 percent tariff on imported cars, according to The Korea Herald.
The clarification came after a Bloomberg report on Thursday claimed Hyundai was preparing to increase U.S. retail prices by approximately 1 percent as early as next week. The report, citing an anonymous source, also suggested potential increases in shipping fees and the cost of certain optional features.
In a statement issued Friday, a Hyundai Motor official emphasized that no final decision has been made regarding post-tariff price adjustments. “We have not made any decision regarding price changes after the current price guarantee period ends on June 2,” the official said, stressing that the company’s regular June price review is a standard market practice and not linked to the recently introduced tariff.
Hyundai Holds Firm on Current U.S. Prices
The 25 percent tariff, which took effect on April 3, has sparked widespread concern across the automotive industry. Nevertheless, Hyundai has reaffirmed its commitment to maintaining current retail prices, including those for its luxury brand, Genesis, until at least June 2.
Jose Muñoz, CEO of Hyundai Motor Company, echoed this stance during his keynote speech at the Seoul Mobility Show 2025, which coincidentally took place on the same day the tariff went into effect. “There are no plans to raise prices in the U.S. market,” he said at the event.
However, in a separate address in New York, Muñoz hinted that future pricing strategies may be reassessed based on evolving market conditions after the June 2 date.
U.S. Market Pressure and Local Production Expansion
Despite Hyundai’s public position, the company faces mounting pressure to reevaluate its U.S. pricing amid the tariff’s financial impact. While Hyundai continues to ramp up local production in the United States—highlighted by the recent launch of the Hyundai Motor Group Metaplant America in Georgia, adding up to 300,000 units in annual output—a significant share of its U.S. supply still comes from Korea.
According to The Korea Herald, Hyundai exported 637,638 vehicles from its Korean plants to the U.S. in 2024, making up approximately 69.9 percent of its total U.S. sales.
Industry Impact and Outlook
The Trump administration’s tariff has introduced new complexities for foreign automakers operating in the U.S., especially those like Hyundai that maintain a large import volume. While other carmakers may pass additional costs onto consumers, Hyundai’s current stance suggests a more cautious approach—at least in the short term.
With the price guarantee period ending today, June 2, all eyes are now on Hyundai’s upcoming market review and whether the automaker will continue absorbing the costs or pivot to incremental pricing adjustments in the second half of 2025.
