Hyundai is poised to unveil its newest small electric vehicle (EV), the Ioniq 3, as a nearly production-ready concept at the Munich motor show in September. This new addition will strategically fit into Hyundai's growing EV lineup, positioned between the Inster and Kona EVs. Named Ioniq 3 to signify its advanced capabilities, it will utilize the company's most modern EV platform and integrate extensive connected technology, with production slated to commence early next year.

The Ioniq 3 is engineered with front-wheel drive and is expected to offer a choice of two battery capacities: 58.3kWh or 81.4kWh. These are projected to deliver a WLTP range of approximately 260 miles and 365 miles, respectively. Performance-wise, it is anticipated to achieve a 0-62mph acceleration time of under eight seconds. While it features a 400V electrical system, which is more cost-effective, it will offer slightly slower charging times compared to the 800V setups found in its larger siblings, the Ioniq 5, 6, and 9. Notably, the Ioniq 3 shares a close relationship with its sister company Kia’s EV3.

Highlighting its digital-forward approach, the Ioniq 3 will support Apple's CarPlay Ultra, offering drivers an enhanced in-car experience. Beyond this, its interface allows for significant configuration of the design and includes links to new synthesized EV sound effects. Hyundai is making a substantial commitment to 'software-defined vehicles,' which means the Ioniq 3 can be upgraded throughout its lifespan. Owners will also have the flexibility to choose and download optional features, much like phone applications, allowing even used-car buyers to customize their vehicle. Hyundai’s proprietary operating system, Pleos, underpins these capabilities, developed in collaboration with several major digital corporations for software modules and apps.

To optimize logistics and reduce shipping and tariff costs, the Ioniq 3 will be manufactured in Turkey. This decision aligns with Hyundai’s existing European production strategy; in 2024, four-fifths of its European sales comprised cars made in its Czech Republic (Tucson, i30) and Turkey (i10, i20, Bayon) factories. While the arrival of the Korean-built Inster might slightly alter this mix, the Ioniq 3's European production will help re-balance it, reinforcing Hyundai’s identity as a 'local player' in the region.

According to Xavier Martinet, Hyundai's European boss, brand surveys indicate that Ioniq is now the second most recognized EV brand, trailing only Tesla. This success, driven by models like the Ioniq 5, 6, and 9, has significantly increased Hyundai’s average selling price in the UK. With the introduction of the more affordable Inster and the new Ioniq 3, Martinet aims to broaden Hyundai’s market share, stating these models will provide “total coverage of the EV market.” Despite the Ioniq 3 being slightly smaller than the Kona EV, its advanced sophistication means it will likely be similarly priced.

Hyundai's overarching powertrain strategy remains comprehensive. The company plans to continue offering a diverse range of vehicles, including internal combustion engine (ICE), hybrid, plug-in hybrid, and full-electric options. Furthermore, it is widening its reach with plans to launch range-extender EVs, which incorporate a petrol generator to supplement the battery. Martinet emphasized that while the growth in EV adoption may not be as rapid as initially anticipated or as regulatory bodies project, the trend is clear: “people don't go back to ICE” once they have experienced an EV. Hyundai aims to maintain its market share across all powertrain types, viewing EV growth as a competitive race against other manufacturers.