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Hyundai and Kia announce $3.1-billion investment in US facilities

Update: A US spokesperson for Hyundai had no further information, but called the reports about the automaker's investments accurate. Hyundai and Kia announced this morning a plan to invest $3.1 billion into its US facilities over the next five years. According to Automotive News, the new investment is a 50-percent increase over what Korea's two largest automakers have brought to the US in the last five years. The automakers already have several large-scale manufacturing bases in the US, but the new investment could bring another plant into the fold. There is the possibility of producing a Genesis product in the US or building a new plant for a US-specific crossover. The announcement is the latest US investment plan as President-elect Donald Trump prepares to take office Friday. Trump has singled out automakers for not building cars in the United States, and Ford, General Motors, and Fiat Chrysler all announced plans to invest in the US since the beginning of January. Skeptics say these moves would have to be years in the making, though Trump has been quick to take credit for them. Not all of the new money will go toward building new plants. Hyundai and Kia could simply expand the already busy plants in Montgomery, AL, and West Point, GA. Beyond that. The automakers could further their research into electric and autonomous vehicles. Like many other automakers, the two Korean giants have backed down from planned expansions into Mexican manufacturing. Although many automakers currently build or were planning to build new vehicles in Mexico, threats of importation fees appear to be causing caused automakers to refocus some of their efforts toward US production. With all this new investment in the US, Kia and Hyundai said there will be no jobs moved to Mexico. Meanwhile, this morning GM announced plans to bring truck axle manufacturing back from Mexico. As with all of the recent announcements, Hyundai and Kia stated that Trump's upcoming presidency played no part in the decision to reinvest in the US. Related Video: News Source: Automotive News Plants/Manufacturing Genesis Hyundai Kia Mexico Trump jobs investment

2018 Kia Rio Quick Spin Review | A grown-up subcompact for grown-ups

The 2018 Kia Rio is doing itself few favors, if any, with its name. Maybe it's the nameplate's terrible early generations or that it sounds a bit like a tropical disease you picked up from a mosquito in Ecuador. In any event, saying "I own a Kia Rio" just seems like something you'd say under your breath and preferably not at all. Which is a damn dirty shame, because the Rio is in fact a terrific little car that anyone should be quite proud to own. There is a grown-up vibe to it that greatly outpaces whatever expectations you might have for a sub-compact car. It is handsome, well-equipped, seemingly well-made, and most surprisingly, extremely competent to drive. Let's start with the exterior styling. Although at first glance it seems a tad conservative for the segment, and perhaps not as expressive as its predecessor, it's handsome and well-proportioned. It is indeed more grown-up in appearance, especially in our test car's Urban Grey paint. It may not be flashy, but it also looks like a real car that just happens to be small, and I think you'd be much happier picking up a date in the Rio than in a Honda Fit or Ford Fiesta. That notion carries over to the interior, which itself is an impressive upgrade over what was already one of the nicest cabins in the segment. Now, not every Rio gets the benefits of our test car's Red Accent package (although it's only a $130 option and includes leather upholstery), but it's nevertheless a visually appealing place to spend time. There's an attractive minimalism to the design (note the cool HVAC controls) and a definite European vibe that, again, looks grown-up. Materials quality is good for the segment, though the test car's leather seats and steering felt a cut above the rest. Then there's the touchscreen that sprouts up from the dash like just about everything these days. Included on the EX trim level, it's 7 inches, easy to see and reach, and comes with Apple CarPlay, Android Auto and satellite radio. Down below, there's a handy shelf for your plugged-in smartphone above another bin for whatever else. In terms of space, the six-way manually adjustable seats provided just enough room for this 6-foot-3 editor's legs, which is far from a sure thing among subcompact cars. I'm one unhappy guy after about 10 minutes in a Honda Fit. Sure, putting the front seat all the way back pretty much cancels out back seat room, but this is a subcompact car, what are you expecting?

Hyundai And Kia Penalized $350 Million For Overstated MPG Claims

Nearly two years after Hyundai and Kia announced they exaggerated fuel economy numbers for several of their most popular models, the two Korean automakers have paid a heavy penalty for the transgressions. The Department of Justice and Environmental Protection Agency announced a settlement Monday that will cost the two car companies approximately $350 million. The financial sum includes a $100 million fine, the largest ever levied under the Clean Air Act, and about $200 million in forfeited greenhouse-gas emissions credits. At a time when car buyers rank fuel economy as a top concern when they head to dealerships and the federal government has mandated increased efficiency, Attorney General Eric Holder said the settlement should serve as a warning to automakers not to fudge their numbers. "This will send a strong message that cheating is not profitable," he said. The settlement ends a federal lawsuit filed against the automakers in U.S. District Court, but it's important to note that it doesn't end a class-action lawsuit filed on behalf of consumers. A preliminary settlement in that case, based in Los Angeles, was approved last month, but final approval isn't expected until July 2015. Officials with the EPA said the $100 million figure roughly equals the economic benefits the two companies received from exaggerating the mileage claims on the window stickers of new cars. Fuel-efficient boasts helped Hyundai and Kia establish a strong foothold in the U.S. marketplace. Advertisements for the Hyundai Elantra stated the vehicle achieved 40 miles per gallon in highway driving, and helped the car win the prestigious North American Car Of The Year honors at the Detroit Auto Show for its 2012 model. In July 2011, the advocacy group Consumer Watchdog began receiving complaints from consumers that the Elantra and other Hyundai models fell short of their stated mileage claims in real-world driving. The group wrote to the EPA and Hyundai, asking both to investigate. Government officials said Kia had overstated the mileage on its popular Kia Soul crossover by 6 miles per gallon, and more than a dozen overall models were affected. On Monday, EPA administrator Gina McCarthy said the violations were "egregious." Based on the exaggerations, the EPA calculated that Hyundai and Kia had underreported the greenhouse gas emissions of their fleets by about 4.75 metric tons over the estimated lifetime of the vehicles. That figure aided in the $200 million credit forfeiture.