The 2023 Kia Niro EV is the latest iteration of South Korean automaker Kia’s subcompact electric SUV. The Niro EV is unique and has few rivals. Its main competitors are its cousin, the Hyundai Kona Electric, the Chevrolet Bolt EUV, and the Mazda MX-30. South Korean brands Hyundai Motor Company and Kia Corporation have proven their ability to create capable electric vehicle platforms in recent years with the Hyundai Ioniq 5, Hyundai Kona EV, Kia EV6, and Kia Niro EV. The Niro EV is more expensive than ever before for 2023.

The Kia Niro EV is pricier than ever

Kia’s subcompact electric SUV is pricier than ever, and it isn’t Kia’s fault. The electric subcompact SUV no longer qualifies for the revised federal electric vehicle tax incentive. The federal EV tax incentive was altered as part of the Inflation Reduction Act of 2022. It now heavily favors EVs that are made in the U.S.

Several major automakers no longer qualify for federal electric vehicle tax credits, including Toyota. The Japanese automaker has passed the program’s sales threshold. Consumers that get Toyota PHEVs and EVs can no longer benefit from the incentive.

The previous Niro EV model year was considered affordable because the $7,500 tax credit was factored into its pricing. The 2022 Kia Niro EV has an MSRP of $39,090. After the federal electric vehicle tax incentive, its price was closer to $31,590. The 2022 Niro EV was a steal for $31,590 because it has a 239-mile driving range.

The 2023 Kia Niro EV starts at $39,450 before taxes and additional fees. It’s significantly more expensive without a tax credit. The price difference could be enough to potentially deter some consumers from purchasing the new EV.

Is the 2023 Kia Niro EV worth over $39K?

Kia’s new subcompact electric SUV may be much more expensive than the previous model year, but that doesn’t mean it isn’t worth buying. The EV’s starting price is still below the average new vehicle price. Its driving range and standard features also offer great value.

The 2023 Niro EV comes standard with vegan leather and cloth seating trim, heated front seats, and smart cruise control with stop-and-go. The electric vehicle also comes standard with a wireless phone charger, a smart key with push button and remote start, and a smart power tailgate. The Niro EV includes standard features that are often only available on upper trim levels models.

Should you get a 2023 Kia Niro EV?

If you’re in the market for a new electric vehicle, the 2023 Kia Niro EV is a great choice. The Niro EV makes 201 horsepower and 188 lb-ft of torque. The electric vehicle has an estimated 253 miles of driving range. Car and Driver praises the Niro’s many standard features and impressive driving range.

The Niro EV’s greatest competition in 2023 may be the Bolt EUV because of affordability. The Bolt EUV tops out at just $31,700 and has 247 miles of driving range. From a value perspective, the Chevrolet Bolt EUV is the subcompact electric SUV to beat because of its low starting price of $27,200.