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, the company said it will support growth and profitability in North America by scaling Telluride production to more than 180,000 units. The presentation listed the Telluride EREV’s launch in 2029.
Kia confirms EREV development
At the aforementioned event, Kia CEO Ho Sung Song also confirmed that Kia will introduce EREV variants on two strategic models, the 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
Kia says its EREV system is a proprietary setup that uses the generator motor as the drive motor. The company says this approach helps reduce battery costs through optimized battery sizing while also extending driving range through engine-based battery charging.
EREV technology occupies a unique space between conventional hybrids and pure-electric vehicles. Unlike a traditional hybrid where the engine primarily drives the wheels, EREV vehicles rely on a large-capacity battery pack to power electric motors. The combustion engine functions exclusively as a generator, recharging batteries rather than driving the wheels.
The big advantage of EREV is in its extended driving range, which can surpass 620 miles, compared to 250-300 miles of range in pure-electric vehicles. This system is a midway solution, reducing range anxiety without completely depending on widespread fast-charging infrastructure.
Based on information shared at the Hyundai CEO Investor Day in 2024, Hyundai Motor Group’s first EREV uses a two-motor setup. The front axle gets a motor-generator (MG1) that pulls double duty of generating electricity from the engine to charge the battery, while also driving the front wheels. A second, dedicated drive motor (MG2) is mounted on the rear axle, giving the system AWD capability.
HMG’s EREV manufacturing in the U.S.
Jaehoon Chang, former CEO of Hyundai Motor Company, previously confirmed plans to mass-produce EREV vehicles for North America and China by late 2026, aiming for sales beginning in 2027.
Hyundai and Genesis brands will roll out this system in their D-Class SUVs, catering to ongoing demand for internal combustion engines. These models weren’t named, but recent test prototypes have revealed them to be the Santa Fe EREV, and the GV70 EREV.
We infer from South Korea’s Maeil Business newspaper report last year that Hyundai Motor Group should approve production of EREV-equipped models, including the Telluride, at its U.S.-based HMGMA facility.
Although initially built exclusively for electric vehicles like the Ioniq 5 and Ioniq 9, the factory could accommodate production of hybrids and EREV models in the future for the Hyundai Motor Group brands.
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.
