2015 Kia Sorento Lx on 2040-cars

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What a strike in Korea could mean for US Hyundai and Kia buyers

A prolonged factory strike at Hyundai-Kia factories in South Korea could mean that US dealership inventory of certain vehicles, such as the South Korea-built Hyundai Accent and Kia Soul, could dry up in the coming months, depending on the length of the strike, reports Cars.com's blog, Kicking Tires. The two brands together rank sixth in US sales and fifth in global sales.
Kicking Tires gives fascinating insight into how a production stoppage in South Korea might affect vehicle sales in the US, considering Hyundai-Kia has two factories in the US that build the Kia Sorento and Optima/Optima Hybrid, and the Hyundai Elantra sedan/coupe/GT, Sonata/Sonata Hybrid and Santa Fe/Santa Fe Sport. The only one of these vehicles that's built solely in the US is the Kia Sorento, with the rest of them sharing production with South Korea.
Be sure to read the piece, especially if you're in the market for a Hyundai or Kia, or just interested in global economics.

Hyundai-Kia forecasts slowest sales growth in 8 years

Even with the arrival of the new Hyundai Genesis Sedan (above) and the expected introduction of at least two other new vehicles in 2014, Hyundai-Kia is estimating its sales will only increase by about 4.1 percent this year. Bloomberg has found that figure, which works out to a total of 7.86 million vehicles worldwide, to be lower than average analyst estimates of eight million vehicles. If the automaker is correct, that figure will represent the most sluggish growth for the Korean brands since 2006.
Based on an exchange rate of 1,050 won to the dollar - right now it's trading at anywhere from 1,050 to 1,052 depending on where you look - Hyundai is predicting a 3.8-percent uptick for sales of 4.9 million units, while Kia is expecting a 4.7-percent uptick for sales of 2.96 million units. That exchange rate is predicted to be part of what will hamper sales this year, with a stronger South Korean won making Japanese cars more price-competitive when cross-shopped. It's unclear how Hyundai derived its exchange rate, but 1,050 won to the dollar almost matches the 52-week high for all of 2013.
The company chairman mentioned a "low growth era" in the world economy, and weaker US sales are rumored to at least part of the reason John Krafcik recently vacated the post of Hyundai Motor America CEO, a post that has been filled by executive vice president of sales, David Zuchowski. That unexpected news capped a year in which two top execs resigned over quality issues and recalls and Hyundai agreed to settle a consolidated lawsuit over inflated fuel economy ratings for $395 million.

2017 Kia Cadenza has new styling, greater efficiency

The current Kia Cadenza went on sale in the US in April 2013, and three years later a new generation arrives at the 2016 New York Auto Show. This isn't just a mild refresh of the existing sedan, either. The latest Cadenza hits showrooms in late 2016 with improved styling, a stiffer platform, and a more efficient engine. Kia is holding back the 2017 Cadenza's exact powertrain specs until closer to launch. The new sedan still uses a 3.3-liter V6, which now has an estimated 290 horsepower, and the company plans to retune the powerplant for better fuel economy. The sedan also has an eight-speed automatic gearbox rather than the present six-speed. The current Cadenza makes 293 hp and has EPA estimates of 19 miles per gallon city, 28 mpg highway, and 22 mpg combined. The model's lighter platform makes the most of the improved powertrain. The updated chassis now consists of over 50 percent Advanced High Strength Steel, which is twice as much as before. The 2017 model has the same length as its predecessor but a longer wheelbase that increases rear legroom by half an inch. Additional sound deadening and acoustic absorbing laminate for the windshield and front windows create a quieter interior, too. The 2017 Cadenza's styling is a more angular evolution of the current sedan's stodgy look, with sharper edges for Kia's tiger nose grille, which is now convex. The Cadenza's lower trim levels feature mesh in the center, but the more expensive versions have vertical fins (pictured above). The four-door also has Z-shaped signature lights in the headlights, and the same motif is on the taillights. The latest Cadenza's interior cossets occupants with more soft-touch materials and high-tech amenities. Customers can spec active safety systems like adaptive cruise control with stop and go, a forward collision warning with automatic braking, lane departure warning, and the Smart Blind Spot Detection System that can brake the wheels to keep from drifting toward an adjacent vehicle. The rapid replacement for the last Cadenza suggests Kia wants to stay relevant among large, front-wheel drive sedans, like the Nissan Maxima, Toyota Avalon, and Buick LaCrosse. The new styling at least makes the Kia look more interesting in the segment, and the updated powertrain makes sure the four-door keeps up in the class.