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Why is KIA half as cheap in China as it is in the US and Europe?

The answer is multifaceted, but the huge differences are a fact

The Chinese car market has long been known for its lower prices compared to other global regions, but the differences can be truly striking. A prime example of this is the KIA Seltos crossover. Although it is positioned as an affordable SUV in the United States, its Chinese version is priced so low that it can literally be said to cost half as much. This phenomenon raises questions about manufacturers' global pricing strategies and the factors that determine them.

Dramatic price differences between continents

The KIA Seltos debuted in China in 2019 under the name KX3, and after a facelift in 2023 it was renamed to match the brand's global nomenclature. In the US, the 2025 Seltos starts at $24,690 (approximately €22,800 at current exchange rates) for the base LX trim and goes up to $31,190 (approximately €28,800) for the top-of-the-line SX. In contrast, in China, the Seltos starts at 109,900 yuan (approximately €14,100) and goes up to 159,900 yuan (approximately €20,500).

Even more impressive are the special promotions in China. During the "summer price", the mid-range Luxury Edition of the Seltos has been reduced from 129,900 yuan (approximately €16,700) to just 77,900 yuan (approximately €10,000). Additional discounts for certain groups of buyers, such as recent graduates, can reduce the final price even further. Such prices are unthinkable for the European market.

KIA Seltos prices in Europe and Bulgaria

In Europe, the situation is quite different. The KIA Seltos is not as widely available as the Sportage or Niro, but in some markets, such as Greece or other Balkan countries, it can be found. KIA Seltos prices in Europe usually start at around 20,000 - 22,000 euros for basic versions and can reach over 30,000 euros for higher equipment levels and more powerful engines.

Equipment and engines – where are the differences?

Despite its significantly lower price, the Chinese KIA Seltos offers a rich equipment, including 17-inch alloy wheels, LED lighting, a panoramic sunroof, a 10.25-inch infotainment display and premium leather seats. In terms of dimensions, the Chinese model corresponds to the American one.

The main difference lies under the hood. Buyers in China can choose between a 1.5-liter naturally aspirated engine with 115 hp or a 1.4-liter turbocharged engine with 140 hp, both of which work with an automatic (variator) transmission and front-wheel drive. In comparison, the Seltos for the American market is offered with more powerful engines: a 2.0-liter with 148 hp or a 1.6-liter turbocharged engine with 193 hp, with all-wheel drive optional or standard on the more powerful versions. These differences in powertrains contribute to the price differentiation, but do not fully explain the huge gap.

Factors behind the price differences

Several factors contribute to this price disparity. The Chinese market is extremely competitive, forcing manufacturers to offer aggressive prices to attract customers. Local production, lower production costs, and fewer duties and taxes also play a role. Additionally, KIA’s marketing strategies may include positioning the Seltos as a more budget-friendly option in China, while in Western markets it is targeted at a higher segment, corresponding to higher expectations for equipment and performance.

In conclusion, the low price of the KIA Seltos in China is a reflection of a complex combination of market conditions, production costs and strategic decisions. While these prices may seem almost unrealistic to European and American consumers, they highlight the unique nature of the Chinese auto market and how it influences global pricing strategies of automakers.