The 2024 Hyundai IONIQ 5 has claimed the title of “Best Electric Vehicle of 2024” by Cars.com, a prestigious accolade that solidifies Hyundai’s position in the electric car market. Although the Tesla Model Y might be considered a formidable competitor, its absence from the winner’s circle can be attributed to what we call the LeBron James principle.
On Wednesday, the IONIQ 5 secured this honor for the second year in a row. Cars.com noted that it triumphed once more because it effortlessly strikes a near-perfect equilibrium between various qualities, even when pitted against more recent rivals. The IONIQ 5 boasts a spacious and versatile cabin that remains compact in terms of exterior dimensions. Its avant-garde styling not only captivates the eye but also prioritizes practicality for daily use. Furthermore, this electric vehicle offers a simple and user-friendly control layout while incorporating an array of cutting-edge technological features.
To provide some context, the Tesla Model Y seized this award in 2022.
Now, you may wonder if the IONIQ 5’s two awards overshadow the Model Y’s single accomplishment. Undeniably, the IONIQ 5 is an exceptional vehicle; we have personally test-driven one and enjoyed the experience. However, when comparing it to the Model Y, one must analyze the numbers.
The starting price for the 2024 IONIQ 5 is approximately $43,000, disqualifying it from eligibility for the $7,500 federal purchase tax credit. Nonetheless, for individuals considering leasing, there is still an opportunity to avail of the $7,500 deduction. Leasing companies can also benefit from this credit when acquiring any battery-electric vehicle.
The per-charge range of the IONIQ 5 begins at around 260 miles, and the entry-level trim level generates approximately 170 horsepower.
On the other hand, the Model Y comes with a starting price of $44,000. However, thanks to its qualification for the $7,500 tax credit, most buyers can enjoy a base price of $36,500—essentially reducing the cost by $6,500 in comparison to the IONIQ.
Both the Model Y and IONIQ 5 offer a per-charge range of around 260 miles. Nevertheless, Tesla reigns supreme with the largest network of fast-charging stations nationwide. While it’s worth noting that most electric vehicle charging occurs at home, where the cost is roughly 25% of what one would spend on an equivalent amount of gasoline.
The Powerhouse: Tesla Model Y vs Hyundai IONIQ 5
Introduction
The Battle of Power
One of the key factors that sets the Model Y apart is its impressive power output. With close to 300 horsepower, the base rear-wheel-drive Model Y packs a punch that not only outperforms its competitors but also comes at a more affordable price point, especially when factoring in credits. Furthermore, the Model Y takes it up a notch with its standard leather seats, adding an extra touch of luxury to the driving experience. On the other hand, the base version of the IONIQ 5 comes with cloth seats, which may not match the level of sophistication offered by its Tesla counterpart.
The MVP Conundrum
To understand why the Model Y didn’t clinch the recent car award, we can look at what we like to call the LeBron James principle. Just like LeBron James, who wasn’t awarded the NBA’s Most Valuable Player title every year he was considered the best player in the league, car awards often favor variety and diversity. In the realm of professional basketball, players like Michael Jordan, LeBron James, and Shaquille O’Neal exemplify this notion, with their collective dominance in player efficiency and numerous MVP awards. Even though it’s widely accepted that Michael Jordan was the best player in the NBA for well over a decade, he only secured five MVP titles. It appears that voters simply prefer not to repeat their choices repeatedly.
The Model Y: A True Contender
Considering its exceptional performance on the global stage, it’s safe to say that the Tesla Model Y is the LeBron James, or perhaps the Michael Jordan, of electric vehicles. In 2023, the Model Y claimed the title of the best-selling car model in the world, surpassing both gas-powered and electric rivals. American consumers alone purchased a staggering 394,497 Model Ys in 2023, experiencing a remarkable 31% increase compared to the previous year. Meanwhile, Hyundai’s IONIQ 5 made a respectable showing with 33,918 units sold in the U.S. throughout the year, a significant improvement from the 22,982 units sold in 2022.
The Impact on the Market
Although car awards typically don’t have a major influence on stock markets, it’s worth noting that the recent outcome had little effect on Tesla and Hyundai’s stock prices. On Wednesday, Tesla shares saw a modest 1.1% rise during midday trading, while the S&P 500 and Nasdaq Composite experienced similar gains of about 0.7%. In overseas trading, Hyundai shares jumped by 4%, contributing to a 1.3% gain in the Korean stock market.
In conclusion, while the Model Y may not have secured the recent car award victory, its undeniable dominance in the global market speaks volumes about its capabilities and appeal to consumers. With its impressive power, luxurious features, and record-breaking sales, the Model Y continues to solidify its position as a formidable player in the world of electric vehicles.