Another day, another automaker deciding that hybrids are a better short-term solution than focusing solely on EVs. Ford, GM, and others made the call months ago, and now, it’s Hyundai’s turn. The South Korean automaker recently confirmed that it would boost hybrid production at its Georgia factory, which was previously destined for life building electric models.

Hyundai’s first-quarter sales numbers were all the confirmation it needed to jump in with more hybrids, with an executive saying that it saw a sharp rise in demand during the first quarter. Its hybrids accounted for over 20 percent of Korean sales and just under 11 percent of U.S. sales. The automaker’s EV sales also dropped in the first part of the year compared to 2023, down by around half in Korea and more than a full percentage point in the United States.

It’s also important to note that part of the wavering demand for EVs could be due to Hyundai’s lack of federal tax credit eligibility, though that will change when it starts building vehicles at its Georgia plant later this year.

While the numbers paint a somewhat disappointing picture of EV sales growth, it’s not time for doom and gloom predictions just yet. Hyundai had a great month for EVs in March, doubling its sales, and its overall sales were up in the first quarter. The automaker’s electric models are also very competitive, offering solid range estimates, useful tech, and eye-catching styling.

Hyundai’s sister company, Kia, made a similar announcement earlier in April. It cited slowing EV demand and a need to be more competitive with the ever-growing number of Chinese vehicles on the road. The company’s new roadmap still focuses on electrification but has more hybrid models and cheaper electric options. It will also begin producing EVs in the States this year, which will help with tax credits and may give a slight boost to sales numbers.

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