Hyundai Motor Company has unveiled Concept THREE, its first compact electric vehicle (EV) concept under the IONIQ sub-brand, at IAA Mobility 2025 in Munich.
The debut marks Hyundai’s entry into the compact EV category, complementing its existing midsize and large EVs. The company stated that the Concept THREE addresses the growing demand in Europe for compact, space-efficient electric vehicles, driven by urbanization and sustainability regulations.
“Returning to IAA Mobility after four years away is a milestone, and such an occasion deserves a milestone car,” said Xavier Martinet, President and CEO of Hyundai Motor Europe. “Concept THREE represents the next step in Hyundai Motor’s electrification journey. With its compact dimensions and Art of Steel design language, it embodies our vision of delivering mobility that is practical, accessible and emotionally resonant.”
The Concept THREE is built around Hyundai’s “Art of Steel” design approach (similar to the NEXO FCEV), using sculptural forms and precise lines to highlight steel’s strength and flexibility. Its body, shaped with an Aero Hatch profile, emphasizes aerodynamic efficiency and urban versatility with a vertical tailgate.
Hyundai’s Parametric Pixel lighting is featured at the front and rear, with gradient effects to add visual depth. The exterior finish uses an anodized-effect surface paired with lemon-tinted glass and wheels, linking to a cabin finished in yellow and grey tones.
Inside, the car features a calming, furnished space with modular “Bring Your Own Lifestyle” widgets for customization. Playful design elements, such as the symbolic “Mr. Pix” character, are integrated throughout the cabin. Sustainable materials, including textiles made from ocean waste and lightweight aluminum foam, are also planned for use.
The Concept THREE is how the brand shows how Europe remains central to Hyundai’s electrification strategy, with nearly 80 percent of its vehicles sold in the region produced locally. The company plans to offer an electrified version of every model in Europe by 2027 and release 21 global EV models by 2030. It is also developing hydrogen fuel cell technologies and transitioning its European production facilities to renewable energy.
Hyundai’s participation in IAA Mobility 2025 is its first in four years. The event, spread across Munich’s Messe halls and city center, is expected to draw more than 500,000 visitors and 750 exhibitors from 110 countries.
At Munich’s Ludwigstraße, Hyundai is showcasing its lineup at a 58-meter-wide, 7-meter-tall booth inspired by its Parametric Pixel design. Alongside the global debut of Concept THREE, the booth features design exhibitions and the “Hyundai AddGear” modular accessories display.
Hyundai is also presenting seven electrified models, including the KONA Electric, IONIQ 5, IONIQ 6 N, IONIQ 9, INSTER Cross, Concept THREE, and INSTEROID. Visitors will have the chance to test-drive nine models, among them the IONIQ 5 N, SANTA FE PHEV, and TUCSON PHEV.
Hyundai said Concept THREE sets the tone for its next chapter of design and product development as it competes in Europe’s growing compact EV market.
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