Green Car

Hyundai Ioniq 6 undercuts Tesla Model 3 with $5,000 price cut

Thanks to increased rebates, the 2023 Hyundai Ioniq 6 is now cheaper to buy than a Tesla Model 3.

Hyundai recently increased rebates on the Ioniq 6 from $3,750 to a maximum $5,000 for the SE and SEL trim levels, CarsDirect reports. The top Limited trim level gets a smaller $2,000 rebate, and unlike the rebate for lower trim levels, it’s in the form of a dealer cash incentive, which dealers can simply pocket as profit.

2023 Hyundai Ioniq 6

The $5,000 rebate effectively brings the base price of an Ioniq 6 down to $37,715. The Tesla Model 3 currently starts at $41,630. However, the base Model 3 is rated at 272 miles of range, compared to 240 miles for the base Ioniq 6 SE. The Ioniq 6 SE Long Range, with a larger battery pack, offers a 361-mile range that outdoes all current Model 3 variants.

In a first drive, we found the Ioniq 6 manages to stand out not just from the Model 3 and Polestar 2, but from the whole EV crossover crowd. That includes its sibling, the Hyundai Ioniq 5, which has a very different design from the Ioniq 6 sedan.

2023 Hyundai Ioniq 6

2023 Hyundai Ioniq 6

The Ioniq 5 did get a price hike for 2023, although Hyundai has already worked to undercut Tesla with lease prices on Ioniq 5 and Ioniq 6. The Ioniq 5 also gets a $5,000 rebate this month, bringing its base price down to $37,785, according to CarsDirect. And Hyundai is among the automakers offering a $7,500 lease incentive for EVs, exploiting a tax-credit loophole to offer a substitute for vehicles that don’t qualify for a federal tax credit.

Leasing isn’t the only alternative either. Hyundai revealed revamped subscription plans earlier this year, with rates starting at $699 a month.

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