- Hyundai slashed prices for the 2026 Ioniq 5 by up to $9,800 on Wednesday.
- The cuts make the Ioniq 5 perhaps America’s best EV deal.
- The Ioniq 5 now undercuts the Tesla Model Y by a long shot, while offering better value and specs than other competitors.
If you’re anything like me, you’re kicking yourself for missing out on the $7,500 federal clean-car tax credit, which expired prematurely on Tuesday. Maybe you couldn’t get it together ahead of the Sept. 30 deadline. Or maybe you, like me, just didn’t really need a new car yet, FOMO be damned.
Fear not, though; EV deals are all over the place if you know where to look. The fact of the matter is that car companies still need to sell these things with or without help from the feds. And we’ve already seen some car companies cutting prices and offering hot deals to make up for the the tax credit’s early demise.
On Wednesday, Hyundai slashed the manufacturer-suggested retail price of the 2026 Ioniq 5 crossover by up to $9,800, making up for the loss of the tax credit and then some. Overnight, the new Ioniq 5 has become one of the best—if not the best—EV deals in America.
After the price cut, a 2026 Ioniq 5 retails for as little as $35,000, before destination fees. Now, I’ll readily admit that’s not cheap cheap. But it’s not a lot for a brand-new electric car. Moreover, this isn’t just any electric car. It’s an Ioniq 5, a boldly styled, fast-charging, long-range crossover that’s easily one of the all-around best EVs you can buy today.
Hyundai said the move helps it “better align with current market dynamics and support increased U.S. production volume.” And I’d agree. At these prices, Hyundai’s going to keep selling a ton of these things. (It’s moved some 41,000 of them this year so far.)
2025 Hyundai Ioniq 5 Limited
Photo by: Hyundai
The Ioniq 5 SE RWD now costs $37,500 and (according to the 2025 model year’s figures) offers 318 miles of estimated range. You can jump up a trim level to the mid-tier SEL RWD for just $39,800, or $9,800 less than what the 2025 version would’ve cost you. The dual-motor SEL AWD (290 miles of range) also costs nearly $10,000 less than it did before, dropping from $53,100 to $43,300.
Since not everyone qualified for the EV tax credit anyway due to household income caps, some buyers may have won big by delaying their Ioniq 5 purchase until now.
Now, let’s compare the Ioniq 5’s prices to some of the competition. The Ioniq 5 now beats most rivals in its ballpark, either on price or capabilities or both.
The SE RWD is just a couple grand more than the 319-mile Chevrolet Equinox EV, which we consistently recommend as one of the top EV bargains. And, all love to the Equinox EV, but I’d rather have an Ioniq 5.
It’s also a few thousand bucks less than the 314-mile Toyota bZ. For a 300-mile Mustang Mach-E, you’re looking at over $43,000. The Volkswagen ID.4 starts at over $45,000 for 291 miles of EPA range.
2025 Hyundai Ioniq 5 Limited
Photo by: Hyundai
And unlike any of those cars, the Ioniq 5 uses an 800-volt architecture that allows for super-fast charging. A charge from 10%-80% should happen in just 20 minutes, which is very good. It also comes from the factory with the Tesla-designed NACS charging port, something few non-Teslas have. That allows for dongle-free charging at Supercharger locations.
In our testing, we’ve also found that the Ioniq 5 rides and drives well. And we like its spacious, airy interior and retrofuturistic design.
The Tesla Model Y—another one of our top picks—offers considerably more range than the Ioniq 5, but it costs a lot more too. The Long-Range Rear-Wheel Drive model runs $44,900 and carries an EPA estimate of 357 miles. The All-Wheel Drive version costs $48,990 for 327 miles of range.
Right now, the 2026 Ioniq 5 is a tough deal to beat. But automakers like Rivian, General Motors and Ford are still offering lease deals funded through tax credits for a limited time. I fully expect other brands to follow suit with price cuts and deep discounts to stoke demand.
Tesla, for its part, has a long track record of fast-and-loose price cuts. So the Model Y could be in spitting distance of the Ioniq 5 soon.
And, speaking of America’s EV leader, here’s another wildcard: The company says it’s working on a Model Y Lite (nomenclature my own) that will be more accessible than its current lineup. Depending on that model’s price, it may give Hyundai’s hatchback a run for its money.
Bottom line: Even with the EV tax credit out of the picture, there’s a surprising amount of good news for car buyers. For now, at least.
Contact the author: Tim.Levin@InsideEVs.com
