Update: ‘Kia confirms EREV development’ and ‘HMG’s EREV manufacturing in the U.S.’ updated, and ‘Two-motor setup’ added.
Kia has confirmed that it is adding an Extended Range Electric Vehicle (EREV) powertrain to the new Telluride.
At the Kia CEO Investor Day 2026, CEO Ho Sung Song said the company will support growth and profitability in North America by scaling Telluride production to 180,000 units. Speaking further, he confirmed the Telluride EREV will arrive in 2029.
Kia confirms EREV development
Kia’s CEO also confirmed that the company will introduce EREV variants of two strategic models, a pickup and the Telluride, to give the company more flexibility as demand for electrified vehicles changes.
Building on our HEV expansion, we will sequentially introduce additional powertrain options (for Telluride)—including an EREV in 2029—to drive the electrified vehicle mix to 70% by 2030.
Ho Sung Song, Kia’s President & CEO, at the Kia CEO Investor Day on April 9, 2026
How a Telluride EREV works
EREV technology occupies a unique space between conventional hybrids and pure-electric vehicles. Unlike a traditional hybrid, in which the engine primarily drives the wheels, EREVs rely on a large-capacity battery pack to power their electric motors.
The combustion engine functions exclusively as a generator, recharging the battery rather than driving the wheels.
The main advantage of an EREV is its extended driving range, which can reach about 600 miles, compared to 250-300 miles of range in pure-electric vehicles. This system is a middle-ground solution that reduces range anxiety without being completely dependent on widespread fast-charging infrastructure.
Two-motor setup
Based on information shared at Hyundai’s 2024 CEO Investor Day, HMG’s first EREV uses a two-motor setup.
The front motor-generator (MG1) can generate electricity using the engine or drive the front wheels. A second, dedicated drive motor (MG2) is mounted on the rear axle, giving the system AWD capability.
At Hyundai’s 2026 CEO Investor Day, Changhwan Kim, the company’s Executive Vice President, Electrification Energy Solutions Tech Unit, revealed that the company’s EREVs will use high-performance batteries capable of delivering power output and driving performance comparable to those of the Ioniq 5, despite having less than half its battery capacity.
Given the technology synergies within HMG, the Telluride EREV, with the 2.5L generator, should use similar battery technology to deliver comparable performance with substantially smaller battery packs than those in the EV6 or EV9.
HMG’s EREV manufacturing in the U.S.
Jaehoon Chang, former CEO of Hyundai, previously confirmed plans to mass-produce EREVs for North America and China by late 2026, aiming for sales beginning in 2027. At Hyundai’s 2026 CEO Investor Day, José Muñoz announced that the Santa Fe will be its first model available as an EREV.
Hyundai will manufacture the Santa Fe EREV at its U.S. factory in Montgomery, Alabama. The company has scheduled the U.S. launch in the first half of 2027 and is estimating a range of over 600 miles.
Kia could be targeting a range of around 600 miles for the Telluride EREV and will likely produce it alongside the Telluride Hybrid at its U.S. plant, located in West Point, Georgia, to be able to price it at around USD 60,000. We expect to learn more about its EREV plans during Kia’s 2027 CEO Investor Day.
An automobile engineer by training, I’ve analyzed the global car market since 2005, with a keen focus on EVs since 2008. My journey in online automotive publishing spans 17 years, during which I have reviewed cutting-edge automotive technologies and interviewed leading global CEOs and vehicle developers.
