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Hyundai, Kia earmark $760 million to settle U.S. lawsuits over engine fires

SEOUL — Hyundai and affiliate Kia have earmarked 900 billion won ($758 million) to settle U.S. class action litigation and address engine-related issues including fires and failures in the United States and South Korea. The move marks the South Korean auto giant's first major effort to resolve years of trouble over engine defects that have also sparked probes by the U.S. safety regulator and prosecutors. Hyundai Motor will make a provision of about 600 billion won in its July to September earnings while Kia will book one for about 300 billion won, they said on Friday. Hyundai and Kia said in a statement that under the U.S. settlement they would install software to monitor for symptoms of engine failure and take other steps, including offering compensation options and lifetime warranties. A total of 4.17 million Hyundai and Kia models equipped with Theta II gasoline direct injection (GDI) engines, which were sold in naturally aspirated 2.0-liter and 2.4-liter displacements, and had a turbocharged derivative, will be affected by the U.S. settlement. Hyundai and Kia, together the world's fifth-biggest automaker by sales, recalled nearly 1.7 million vehicles in the United States to address the possibility of engine fires. In November, Reuters reported that U.S. federal prosecutors had launched a criminal investigation to determine if the recalls had been conducted properly. Since 2017, the U.S. safety regulator has been investigating whether the recalls covered enough vehicles and were conducted in a timely manner. The investigation comes after Kim Gwang-ho, then an engineer at Hyundai, flew to Washington in 2016 to tell the National Highway Traffic Safety Administration (NHTSA) the companies should have recalled more vehicles over the problem, citing an internal report. Hyundai Motor at that time denied allegations. The NHTSA this year opened a fresh investigation into 3 million Hyundai and Kia vehicles after reviewing reports of more than 3,000 fires that injured more than 100 people. That probe came in response to a petition seeking an investigation filed in June by the nonprofit Center for Auto Safety.

Hyundai is showing a walking pod robot car for CES

Appropriate to its proximity to Area 51, CES 2019 is bringing out the sci-fi side of Hyundai. For this year's Consumer Electronics Show in Las Vegas, which has quickly become one of the most important auto shows in the world, Hyundai ideated a multi-terrain pod that uses legs attached to wheels. It's called Elevate. This is one of the first ideas we have seen from Hyundai CRADLE, the Center for Robotic-Augmented Design in Living Experiences. Formerly Hyundai Ventures, CRADLE was formed for venture capital, collaboration with startups, and concept development, with investments focusing on robotic and intelligent systems, eco-friendly technologies, mobility, materials and manufacturing technology, and concept vehicles. The Elevate incorporates numerous aspects of these goals with a concept vehicle that incorporates robotics and electric mobility. In the photo here, it is shown in potential application for search and rescue missions. Because the pod uses wheels and robotic legs together, it can cross rugged terrain and even climb obstacles. Oddly, though, we wonder why something that heavy is depicted on top of rubble where they seem to be searching for survivors. Maybe that area has already been cleared. Hyundai hasn't offered specs or details on Elevate yet. It might at full launch, but it appears the Elevate runs on battery power and is about as tall as the workers. Stay tuned for more info in the coming week. Related Video:

Hyundai officially names 3-row SUV the Palisade, to be revealed at LA Auto Show

The reports we've been hearing about Hyundai's new three-row SUV are right, it's going to be called the Palisade and be revealed at this year's Los Angeles Auto Show. Coming for model year 2020, it'll be Hyundai's new flagship SUV with eight-passenger capability. For those counting, that's one more than the Santa Fe XL it will be replacing. Hyundai released one teaser image for us to check out, but it doesn't tell us much of anything about the big SUV. We've been seeing plenty of spy shots of the truck over the past few months that do give us an idea of what to expect, though. Based on the Grandmaster Concept, the three-row SUV looks like it has a luxurious interior. Spy shots show split headlight modules and a large, cascading grille too. It's going to be big. Hyundai tends to name its vehicles after exotic locations, and this one is no different. Palisade refers to the Pacific Palisades, an affluent neighborhood on the coast of Southern California. You might be more likely to see Bentleys and Range Rovers roaming the streets in this area, but Hyundai is adopting it nonetheless. We'll be able to say more come LA Auto Show time, but for now, Hyundai says the Palisade will be available in the summer of 2019 for the U.S. market. When the Palisade does arrive, it will be facing a crowded market of others all elbowing for the same piece of pie. Coming out with a large SUV never seems like a bad idea these days with how the market always receives them, but we'll see how well Hyundai can teach everybody to look for the Palisade nameplate instead of the Santa Fe XL now. Related video: