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2021 Kia Seltos falls short of IIHS Top Safety Pick

The 2021 Kia Seltos missed out on an Insurance Institute for Highway Safety (IIHS) Top Safety Pick award due to under-performing headlights, the organization announced Thursday. Kia's new baby SUV aced the safety watchdog's crash safety and collision avoidance tests, but none of its available trims had headlights capable of scoring at least an "Acceptable" rating in IIHS testing.  "With at least one good or acceptable headlight rating, the Seltos would have qualified for a 2020 TOP SAFETY PICK award. Good or acceptable headlight ratings across all trim levels would have earned it the higher-tier TOP SAFETY PICK+ award," IIHS said in its announcement.  IIHS updated its testing regimen for the 2021 model year, further emphasizing the performance of exterior lighting and pedestrian safety systems. Previously, a vehicle could receive a Top Safety Pick Plus rating so long as it at least had optional headlights that performed well; this year, vehicles must have headlights rated at least "Acceptable" on all trim levels to qualify for the highest ratings. The lesser Top Safety Pick designation is more lenient, but Kia's new entry falls short of even those requirements. Kia offers three different headlight configurations on the Seltos — two halogen and one LED — and all three were rated "Poor" due to inadequate illumination in curves, says IIHS. Its other equipment, including its optional collision mitigation systems, all received high marks.  The base-model LX comes standard with all-wheel drive, but is woefully devoid of advanced safety features, coming with only a rear seat occupancy reminder and government-mandated tech such as a rearview camera and lots of airbags. Above the LX, the Seltos gets standard forward collision warning with pedestrian detection and automatic emergency braking, lane-departure warning and lane-keeping assistance, a driver inattention warning system and automatic high beams. The EX, S Turbo and SX Turbo add blind-spot and rear cross-traffic warning, while the SX Turbo adds adaptive cruise control with stop-and-go capability and an enhanced automatic emergency braking system that includes cyclist detection. Related Video:    

Hyundai Motor shares slide following U.S. probe of airbag failures

SEOUL — Shares in Hyundai Motor tumbled on Monday on a U.S. probe into why airbags failed to deploy in some of its Sonata sedans, with investors fretting about potential recall costs for the once popular cars. The probe, which follows crashes that reportedly killed four people and left six injured, will review the 2011 Sonata sedan as well as the 2012-2013 Forte made by affiliate Kia Motors, encompassing some 425,000 vehicles. It marks the second investigation by the U.S. National Highway Traffic Safety Administration into the South Korean duo in less than one year, exacerbating headaches for Hyundai which reported in January its worst annual earnings in seven years. Hyundai has issued a recall for more than 150,000 U.S. Sonatas after incidents of non-deployment were linked to electrical overstress in the airbag control unit, but said it did not have a final fix. "What I am concerned about is that the recall will be expanded to other markets," said Ko Tae-bong, an analyst at Hi Investment & Securities. The Sonata and Forte sedans were responsible for driving sales for Hyundai and Kia in key markets in recent years, although they are no longer as popular as they once were. Ko estimated the U.S. recall could cost as much as $575 million if airbags were replaced in 425,000 vehicles under review and the automakers were found responsible for the problem. Hyundai Motor shares tumbled 4.8 percent while Kia Motors lost 3.7 percent. Parts supplier Hyundai Mobis fell 5.4 percent while the broader market was down 0.7 percent. Hyundai declined to comment on whether the recall would be expanded. Kia said it has not confirmed problems with the airbags but added it would "act promptly to conduct a safety recall, if it determines that a recall would be appropriate." The automakers told the South Korean regulator that the Sonata and Forte models sold in the domestic market were not affected, an official at South Korea's transport ministry told Reuters. The U.S. regulator said the airbag control units were built by ZF Friedrichshafen-TRW, a German auto supplier that acquired TRW Automotive in 2015, adding that it would determine if any other manufacturers used similar airbag control units and if they posed a safety risk. The NHTSA also said that electrical overstress appeared to be the root cause in the 2016 recall by Fiat Chrysler America of 1.4 million U.S. vehicles for airbag non-deployments in significant frontal crashes.

Hyundai and Kia to hit record 8M sales for 2014

Hyundai and Kia are on a sales charge in 2014, and parent company Hyundai Motor Group is increasing projections to a record eight million combined units for the automakers by the end of the year – a bump over the original target of 7.86 million vehicles. According to Bloomberg, the key to the growth is beating expectations in Brazil, China and India, and strong crossover sales are also helping the bottom line. In the US, both automakers are doing well this year. In October, Hyundai saw a six percent dip in monthly sales, but through the first 10 months it sold 607,539 vehicles, compared to 601,773 at this point last year. Kia has done even better with 489,711 units sold from January to October, versus 456,137 for the period in 2013. The good news is a welcome antidote to negative headlines like investors' anger over Hyundai's $10 billion land purchase in Seoul, South Korea. The two automakers also had to pay a $300 million penalty to the Environmental Protection Agency for misstating fuel economy on some models. While sales may reach a new record, profits might not grow as much with them. The strong Korean won means that Hyundai and Kia have a tougher time keeping up profit margins compared to Japanese competitors with a weaker yen.