Hydrogen Car Nexo Surpasses 10,000 Units Sold... Who Bought Them?

Ulsan, Individual Customers, and 4050 Middle-Aged Group Show High Purchase Proportion

[Asia Economy Reporter Kim Ji-hee] Hyundai Motor's hydrogen electric vehicle Nexo has surpassed 10,000 units sold domestically just two and a half years after its launch in 2018. As Nexo sales accelerate year by year, it has been found to be especially popular in the Ulsan region and among middle-aged customers in their 40s and 50s.

According to Hyundai Motor on the 1st, Nexo's sales volume has been rising rapidly over time. Domestic sales in 2018 were only 727 units, but last year recorded 4,194 units, nearly a sixfold increase. This year, by the end of October, 5,097 units had been sold, already surpassing last year's sales.

Hydrogen electric vehicles have achieved high sales performance in Ulsan, Gyeonggi Province, and Seoul, where hydrogen refueling infrastructure is well established. The region with the highest number of Nexo registrations is Ulsan Metropolitan City (17%). Ulsan was selected as one of the hydrogen pilot cities by the Ministry of Land, Infrastructure and Transport in December last year, leading the establishment of a hydrogen ecosystem from hydrogen production to transportation, refueling infrastructure, housing, and transportation utilization. Currently, five hydrogen refueling stations are operating in Ulsan, supporting the high sales volume of hydrogen electric vehicles. Additionally, over 1,000 Nexos have been registered in both Gyeonggi Province (13.8%) and Seoul Special City (13.8%).

Moreover, individual customers chose Nexo far more than corporate clients. Particularly, the proportion of middle-aged customers in their 40s and 50s was high. As of the 28th of last month, individual customers accounted for an overwhelming 88.3% of Nexo sales. This means that more Nexo customers are consumers using the vehicle as a passenger car in daily life rather than government offices or companies.

By gender, male customers made more choices, and by age group, buyers were evenly distributed from their 30s to 60s. Notably, the proportions of customers in their 40s (28.9%) and 50s (26.2%) stand out. Hyundai Motor explained, "Based on a practical SUV model, advanced technology and eco-friendliness seem to have strongly appealed to the middle-aged demographic."

The color preference for Nexo was White Cream, Titanium Gray, Dusk Blue, Cocoon Silver, and Copper Metallic in that order. Excluding the White Cream color, which is popularly chosen regardless of the model, Titanium Gray (24.6%) and Dusk Blue (21.7%), reflecting Nexo's eco-friendly and advanced image, received favorable responses.

Global market sales performance is also impressive. Nexo is being sold steadily in North America and Europe, where the hydrogen energy industry is rapidly growing. Especially this year, despite the COVID-19 pandemic shrinking sales of competing models and the global automobile market overall, Nexo's sales volume actually increased.

In fact, from January to September this year, Toyota and Honda's hydrogen electric vehicle sales sharply declined. Toyota's sales dropped from 2,455 units last year to 758 units this year, and Honda's from 1,342 units to 809 units. In contrast, Nexo recorded 4,803 units globally last year and sold 4,897 units by September this year, surpassing last year's annual record. Hyundai Motor explained that Nexo's fuel cell system, recognized as a next-generation eco-friendly powertrain, along with Hyundai's advanced convenience and safety features and excellent SUV utility, have positively contributed to sales.