--- title: "What Tax Credit? Hyundai Slashes Ioniq 5 EV Price by Nearly $10,000" date: "2025-10-02" modified: "2025-10-02" authors: - name: "Adam Ismail" job_title: "Senior Editor" link: "https://www.thedrive.com/authors/adam-ismail" url: "https://www.thedrive.com/news/what-tax-credit-hyundai-slashes-ioniq-5-ev-price-by-nearly-10000" categories: - "Hyundai News" - "News" - "News by Brand" tags: - "Electric Vehicle" - "Hyundai" - "Ioniq 5" - "suv/crossover" --- # What Tax Credit? Hyundai Slashes Ioniq 5 EV Price by Nearly $10,000 ![Hyundai Ioniq 5]() *\Hyundai\* It's a turbulent time for the automotive industry, to say the least. Even without new tariffs and regulatory whiplash throwing everything out of whack, this is still a sector experiencing a fundamental technological transformation. It *is* happening; the question is, how quickly? [Hyundai](), in particular, may have enjoyed a welcome boost in EV sales due to the tax credit ending, but it knows it's going to have to buck the trend of rising prices to keep shoppers interested. So that's exactly what it's doing. In an era when all cars, especially the [fun]() [ones](), are getting more expensive, Hyundai has slashed close to five figures off almost every configuration of the Ioniq 5 for the coming model year. It has also extended its own $7,500 discount through October on 2025 vehicles, to cover the federal rebate ending. The table below shows the difference in pricing for every trim between 2025 and 2026: | Ioniq 5 Trim | Horsepower | 2026 Price | 2025 Price | 2026 Price Reduction | | --- | --- | --- | --- | --- | | **SE RWD Standard Range** | 168 hp | $36,600 | $44,200 | $7,600 | | **SE RWD** | 225 hp | $39,100 | $48,250 | $9,150 | | **SEL RWD** | 225 hp | $41,400 | $51,200 | $9,800 | | **Limited RWD** | 225 hp | $46,675 | $55,900 | $9,225 | | **SE AWD** | 320 hp | $42,600 | $51,750 | $9,150 | | **SEL AWD** | 320 hp | $44,900 | $54,700 | $9,800 | | **XRT AWD** | 320 hp | $47,875 | $57,100 | $9,225 | | **Limited AWD** | 320 hp | $50,575 | $59,800 | $9,225 | *All prices include $1,600 freight charge.* Every trim, save the base SE Standard Range single motor, rear-wheel-drive model, is more than $9,000 cheaper for the 2026 model year. The biggest discount is for SEL models; whether you choose rear- or all-wheel drive, it's a $9,800 savings. That means that, heading into 2026, you can walk away with a range-topping, Limited AWD vehicle for slightly less than you might've paid to purchase an SEL RWD, sans credits, in the past year. It's a pretty gutsy move from Hyundai, especially because up until U.S. Ioniq 5 production began in May, the only surefire way to get the full $7,500 IRS rebate was to lease. At times, such discounts would also be available on financed cars. When you take that into consideration, the savings here aren't quite as enticing, but hey—even if the SUV's a grand or two cheaper, that's nothing to sneeze at in this economy, when the tide is unfortunately moving in the opposite direction. The threat of the credit evaporating resulted in a considerable sales boost for Hyundai EVs over the preceeding weeks, to the tune of [a 153% rise in sales](). Extending the discounts may keep that momentum going, and they should, because [the Ioniq 5 is a very good EV](). Of course, the one we'd select is the [Ioniq 5 N](); perhaps unsurprisingly, it's the lone outlier not on the list for a price drop at the moment. ![]() *2026 Hyundai Ioniq 5 Limited. *Hyundai** *Got a tip? Email us at tips@thedrive.com*[]()[]()[]()[]()[]() ## Author Adam is a Senior Editor at The Drive, concentrating on curating and developing the site's slate of daily journalism, from initial pitch to final copy edit. When he's not at his desk researching leads and working with writers, he's testing vehicles or reviewing racing games, new and old. He joined The Drive in 2023, following seven years of covering consumer technology and cars. A car lover and gamer since his earliest memories, Adam came to know the automotive world through video games. First it was Daytona USA, Sega Rally, and Ridge Racer; then came Need For Speed, which inspired an encyclopedic knowledge of '90s supercars, and, of course, Gran Turismo. If not for them, he'd assuredly be doing something else right now. Adam is based in the suburbs outside Philly, where there are ample roads for his hot hatch to stretch its legs. In his car, he's probably listening to indie rock, drum and bass, or Yankees baseball. ### Author social links [Bluesky]() [Instagram]() [LinkedIn]()