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EV battery prices to stop falling in 2020, Hyundai says

SEOUL — Hyundai believes electric vehicle battery prices will level off by 2020 due to supply constraints of key ingredients, ending years of sharp declines that have helped stimulate activity in the booming sector. Despite its cautious outlook, the South Korean carmaker and smaller affiliate Kia plan to release 38 green models using a variety of technologies by 2025, Hyundai Motor Senior Vice-President Lee Ki-sang said. "Not a single ingredient is going in a positive direction in terms of pricing," Lee, who oversees Hyundai's green car operations, said in remarks to reporters last week that were embargoed until Wednesday. "So far battery prices have been declining at a rapid pace, but the pace will moderate significantly or maintain the status quo by 2020." While rivals have announced ambitious plans for electric vehicles, some analysts say Hyundai has been late to the game. It plans to launch a long-range electric vehicle next year, well behind the likes of General Motors and Tesla. Demand for minerals such as nickel, cobalt and lithium used in electric car batteries is forecast to soar in the coming years as governments crack down on vehicle pollution and carmakers step up their investments in electric models. Batteries are the most expensive part of electric vehicles, and their affordability is key to the take-up of the technology. Lithium-ion battery cell prices fell about 60 percent in the five years to 2016 as larger-scale production made them cheaper to make. In September, Reuters reported that Volkswagen was moving to secure long-term supplies of cobalt for the group's electric vehicle plans, but its talks with cobalt producers in November ended without a supply deal. Lee said that although Hyundai saw the need to develop batteries in-house, it still relied on outside suppliers due to a lack of economies of scale to secure raw materials. It aimed to release vehicles powered by solid-state lithium batteries by about 2020, promising greater range and safety than existing lithium-ion units. Japanese rival Toyota also has announced a similar schedule for the development of vehicles powered by new, potentially revolutionary solid-state batteries. In addition to hybrids and battery-powered vehicles, Hyundai was "coordinating" with Fiat Chrysler Automobiles over hydrogen cars propelled by electricity generated from fuel cells, Lee added.

Hyundai Motorsport tests its performance at the WRC Rally Finland

Autoblog joined Hyundai to check out the Neste Oil Rally Finland, where thousands of kilometers of lightly traveled, rolling gravel roads have turned out decades of astonishing racing and cold-blooded drivers. Even though the World Rally Championship is well tamed from its feral Group B days, Rally Finland is still the drivers' favorite, with the fastest speeds and the biggest jumps.
It's the rookie year for the Hyundai Shell World Rally Team, run by Hyundai Motorsport out of Alzenau, Germany. The squad entered the season aiming for podiums in the second half and looking to get its three cars to the finish at every race for maximum development data. It's already outdone itself, Thierry Neuville scoring third places in Mexico - where he used a bottle of Corona to fill his radiator - and Poland.
Denis Giraudet told us that the rally's sternest challenge is not one of heart, though. Giraudet isn't part of Hyundai Motorsport, he was our guide and he's been in the sport as a co-driver for more than 30 years; he won Rally Finland with Juha Kankunnen in 1993 in a Toyota Celica Turbo 4WD. Giraudet said the race tests that particular confidence that comes from about 18 inches below the heart: "Here, you have to go all out. If there's a problem, it's usually between the steering wheel and the seat."

Hyundai Kona EV recalled in Korea after suspected battery flaw causes fires

SEOUL — Hyundai will voluntarily recall Kona full-electric vehicles because a possible short circuit due to faulty manufacturing of its high-voltage battery cells could pose a fire risk. The recall involves 25,564 Kona EVs built between September 2017 and March 2020, South Korea's transport ministry said on Thursday. It starts on Oct. 16 and  includes software updates and battery replacements after inspections. In total, 13 incidents of fire involving the Kona EV, including one each in Canada and Austria, were documented so far, according to a statement by ruling party lawmaker Jang Kyung-tae's office on Thursday. The safety recall "is a proactive response to a suspected defective production of high-voltage batteries used in the vehicles, which may have contributed to the reported fires," Hyundai said. The automaker said it will deploy all necessary measures to identify the cause of the fires and address customers' needs. Kona EVs use batteries made by LG Chem. LG Chem said the exact cause of the fire had not been determined and a reenactment experiment conducted jointly with Hyundai had not led to a fire, so the fires could not be attributed to faulty battery cells. LG Chem added that it will participate in a future investigation with Hyundai to find the cause. In July, Hyundai Motor leader Euisun Chung said Hyundai and sister company Kia aim to sell 1 million full-electric vehicles in 2025, targeting more than 10 percent of the global market share for such vehicles. The Kona is Hyundai brand's best-selling model in Europe. Kona sales in the region rose 1.9 percent to 70,380 in the first eight months, including combustion engine versions, according to JATO Dynamics market researchers.