2011 Se 2.4l Auto Pacific Blue Pearl on 2040-cars

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Why BMWs are cheaper than Hyundais in Korea

Bloomberg reports shifting tariff regulations have upended the traditional automotive pecking order in Korea. Thanks to cheaper import taxes, foreign brands have seen market share jump from 28 percent to 41 percent over the last two years. BMW, Mercedes-Benz and Audi have all capitalized on the shift, with domestics like Hyundai and Kia suffering at the hands of their German rivals.
Taxes on European imports have fallen from 8 percent in 2011 to just 3.2 percent today. Over the next few years, tariffs will all but be eliminated for most imports, and taxes on US-made vehicles are expected to fall to just 4 percent in 2014. By 2016, that number will be zero. Needless to say, Hyundai and Kia are concerned about the shift.
Hyundai has seen profit fall by 15 percent last quarter, and the company says it is on pace to see the slowest sales growth since 2007. The company's shares have fallen by 12 percent. In order to stem the losses, Hyundai has discounted its midsize sedans and started working on diesel engine options.

2014 Hyundai Elantra gets new 2.0L engine, Sport model, tweaked styling

Most of the attention at Hyundai has recently been focused on the next-gen Sonata and Genesis, but before we see either of those sedans, the automaker is giving its small car lineup a significant overhaul.
Just last week, Hyundai unveiled the refreshed 2014 Accent, and today at the LA Auto Show it's take the covers off of its updated 2014 Elantra. All three Elantra models - sedan, coupe and GT - will receive the same changes, but Hyundai has only released pictures for two of the sedan models: Limited (above) and Sport (inset).
The biggest news is that a new, more powerful 2.0-liter, direct-injected inline four-cylinder is now the standard engine in the GT and Coupe, as well as the Elantra sedan's all-new Sport trim level. This engine produces 173 horsepower and 154 pound-feet of torque, and while the 2014 Elantra GT can still be equipped with a six-speed manual or automatic transmission, the 2014 Elantra Coupe drops the option for a manual transmission; it also appears that the Elantra Sport sedan will come solely with the automatic. With the larger engine, fuel economy numbers do drop a little: all models powered by this engine receive EPA estimated ratings of 24 miles per gallon in the city. Highway estimates for this engine include 33 mpg for the GT with automatic, 34 mpg for the GT with manual and Coupe, and 35 for the Sport sedan. Sedan buyers looking for better fuel economy still have the carry over 1.8-liter engine with 145 hp, 130 lb-ft and EPA ratings of 28 mpg city/38 mpg highway.

5 Hyundai and Kia models have higher-than-average fire insurance claim rates

DETROIT — Owners of five Hyundai and Kia cars and SUVs file fire insurance claims at a rate far higher than the average for comparable vehicles, according to an insurance industry study. The Highway Loss Data Institute, which analyzes data from insurers representing about 85 percent of the U.S. industry, found that some Hyundai and Kia vehicles equipped with four-cylinder engines have double the noncrash fire claim rates than the average of comparable vehicles. Last week the South Korean brands announced they would recall about 168,000 vehicles to fix a fuel pipe problem that can cause fires. The problem stems from improper repairs during previous recalls for engine failures. They also announced additional sensor software for another 3.7 million vehicles. Hyundai and Kia started recalling 1.7 million vehicles in 2015 — about 618,000 of which are Kias — because manufacturing debris can restrict oil flow to connecting rod bearings. That can cause bearings in 2-liter and 2.4-liter four-cylinder engines to wear and fail. The problem can also cause fires. The repair in many cases is an expensive engine block replacement. Results of the Arlington, Virginia-based institute's study have been turned over the U.S. National Highway Traffic Safety Administration, which is investigating engine failures and fires in Hyundai and Kia vehicles. The agency is mostly closed this week due to the partial government shutdown. Hyundai said Tuesday that the majority of its models in the study are already being recalled or are part of additional actions to keep customers safe. "Hyundai actively monitors and evaluates potential safety concerns, including non-collision fires, with all of its vehicles and acts swiftly to recall any vehicles with safety-related defects," spokesman Michael Stewart said. Kia spokesman James Bell said the company is cooperating with NHTSA "and will take any necessary corrective action in a timely manner." Many of the fires involve vehicles included the engine failure recall and could have been prevented if owners had the recall repairs done, he wrote. The institute began studying fire claims after the Center for Auto Safety petitioned NHTSA last year seeking a wider recall of Hyundai and Kia vehicles. The center had found a higher-than-normal number of consumer complaints about Hyundai and Kia fires in the agency's database. NHTSA has used Highway Loss Data Institute studies in the past to help make recall decisions.