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Trump wants a trade deal, but South Korea doesn't want US cars

SEOUL - US auto imports from the likes of General Motors and Ford must become more chic, affordable or fuel-efficient to reap the rewards of President Donald Trump's attempts to renegotiate a trade deal with key ally South Korea, officials and industry experts in Seoul say. Meeting South Korean President Moon Jae-in last week in Washington, Trump said the United States would do more to address trade imbalances with South Korea and create "a fair shake" to sell more cars there, the world's 11th largest auto market. "What we really want to say to the United States is: Make good cars, make cars that Korean consumers like." While imports from automakers including Ford, Chrysler and GM more than doubled last year largely thanks to free trade deal which took effect in 2012, sales account for just 1 percent of a market dominated by more affordable models from local giants Hyundai and affiliate Kia. Imports make up just 15 percent of the overall Korean auto market, and are mainly more luxurious models from German automakers BMW and Daimler AG's Mercedes-Benz, which also benefit from a trade deal with the European Union. "Addressing non-tariff barriers would not fundamentally raise the competitiveness of US cars," a senior Korean government official told Reuters, declining to be identified because of the sensitivity of the subject. "What we really want to say to the United States is: Make good cars, make cars that Korean consumers like." TASTE BARRIER In Korea, US imports are seen as lagging German brands in brand image, sophistication and fuel economy, industry experts say. US imports do have a competitive advantage in electric cars: Tesla Motors' electric vehicles are seen as both environmentally friendly and trendy, while GM has launched a long-range Bolt EV. US Commerce Secretary Wilbur Ross had cited a quota in the current trade deal as an obstacle to boosting imports. The quota allows US automakers to bring in each year 25,000 vehicles that meet US, not necessarily Korean, safety standards. Should GM, for example, decide to bring in more than its quota of one model - the Impala sedans - it would cost up to $75 million to modify the cars to meet Korean safety standards, the company told its local labor union. Asked about non-tariff barriers, a spokesman at GM's Korean unit said removing them could expand the range of models the company can bring in from the United States. No US company, however, has yet to make full use of the quota, industry data shows.

Center for Auto Safety wants Hyundai and Kia to recall 2.9M vehicles

DETROIT — A nonprofit auto safety group is demanding that Hyundai and Kia recall 2.9 million cars and SUVs in the U.S. due to consumer complaints that they can catch fire. The Center For Auto Safety said Friday that there have been more than 220 complaints to the U.S. government since 2010 about fires and another 200 complaints about melted wires as well as smoke and burning odors. The complaints involve the 2011 through 2014 Kia Sorento and Optima and the Hyundai Sonata and Santa Fe. Also included is the 2010 through 2015 Kia Soul. The fires are being investigated by the National Highway Traffic Safety Administration as part of a 2017 probe into Hyundai and Kia engine failures. "The volume of fires here make it appear that Hyundai and Kia are content to sit back and allow consumers and insurers to bear the brunt of poorly designed, manufactured and repaired vehicles," Jason Levine, the center's executive director, said. The fire reports have come in from across the country, including a death in Ohio in April 2017, he said. Hyundai says it monitors safety concerns and acts quickly to recall defective vehicles. "We have a robust system in place for monitoring and investigating reported vehicle fires that includes investigation and reporting to NHTSA as required. Vehicle fires can result from a variety of reasons," the company statement said. Kia said it is using company and third-party fire investigators to determine what caused the fires so it can address them. "A vehicle fire may be the result of any number of complex factors, such as a manufacturing issue, inadequate maintenance, the installation of aftermarket parts, an improper repair, arson, or some other non-vehicle source, and must be carefully evaluated by a qualified and trained investigator or technician," the company said in a statement. The Center for Auto Safety filed a petition asking NHTSA to investigate the fires in June. The agency said Friday that it is still evaluating the petition and it has sent information requests to Hyundai, Kia and other automakers about the issue. Levine says the center does not know what's causing the fires. In May 2017 the government began investigating whether the automakers moved quickly enough to recall over 1.6 million vehicles because of engines stalling. NHTSA is looking into three recalls by the related Korean brands, and it's also investigating whether the automakers followed safety reporting requirements.

Hyundai readying 708-hp Sonata for SEMA

For the past two years at the SEMA show, the folks at Bisimoto Engineering have taken one of Hyundai's models and tuned it up to levels of power previously unimaginable. It started in 2012 with a 600-horsepower Elantra GT, and they outdid themselves last year with a 1,000-hp Genesis Coupe. This year Bisimoto's tuners are teasing their latest wild creation by starting with a normal 2015 Sonata and turning the wick up to 708 hp thanks to a long list of engine mods. The key in this massive injection of power is taking the regular 2.4-liter Theta-II four-cylinder engine and doing everything necessary so that it can actually withstand so much additional strain. That means introducing forged pistons and connecting rods and an improved valvetrain with new cams, plus a high-boost turbocharger to really up the ante. It's all then mated to a six-speed manual to get things rolling. "After hundreds of hours of testing, failure analysis and prototyping, 18 new products will be engineered and produced in house to produce 708 horsepower from the Sonata," said Bisi Ezerioha, owner of Bisimoto Engineering in Hyundai's release. While it might be pretty cool to find a 708-hp Sonata that looked completely stock at first glance, this is for the SEMA show after all, and it's all about showing off there. So in addition to the huge increase in horsepower, the Hyundai gets a complete aero upgrade, a coil-over suspension and a roll cage inside, in addition to other improvements. At the moment, only the rear of the car is being teased ahead of the November 4 reveal. Until we get to see more, scroll down to read Bisimoto's entire parts list to turn Sonata from a commuter into a racer. HYUNDAI PARTNERS WITH BISIMOTO FOR A THIRD YEAR TO CREATE 708 HORSEPOWER FLEX-FUEL 2015 SONATA 22/09/14 Bisimoto Engineering Focuses on Strengthening and Reliability to Create Most-Powerful Sonata Ever FOUNTAIN VALLEY, Calif., Sept. 22, 2014 – For the third year in a row, Hyundai is partnering with the powertrain gurus at Bisimoto Engineering, this time to create a 708 horsepower Sonata for the 2014 SEMA show in Las Vegas. Bisimoto's team specializes in extracting huge output from Hyundai's engines, like the 1000 horsepower Bisimoto Genesis Coupe that was built for last year's SEMA show. For this year's show, the team is using Hyundai's 2.4-liter "Theta-II" 4-cylinder engine as the starting point for their build.