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Tucson hydrogen fuel cell CUV will allow Hyundai to sell more dirty cars

With the first Hyundai Tucson Fuel Cell Vehicle deliveries happening soon (a bit later than expected), it's time for the Korean automaker to explain why it's offering the H2 CUV here in the states. After all, there are only 10 public hydrogen stations in the US today, according to the DOE, so it can't be to take over the market. According to a Hyundai exec, the reason we are getting the Tucson Fuel Cell is to make up to $130,000 through California's ZEV credit system. "We really don't make any money out of selling the fuel cell vehicles for now" – Byung Ki Ahn According to Wards Auto, the California Air Resources Board (CARB) will give the automaker up to 26 points worth of zero emission vehicle (ZEV) credits for each of the $499/month hydrogen Tucson leased through the 2017 model year. Those credits could be worth up to $130,000 to Hyundai. Byung Ki Ahn, Hyundai's director of the fuel cell group, told Wards Auto that, "We really don't make any money out of selling the fuel cell vehicles for now. ... So just by selling the fuel cell (vehicle) we could get a lot of credit points, which you could sell at a later time if you want, like Tesla does. It could be a good business model." Ahn clarified that Hyundai does not plan to cash in on those credits, but to use them to offset the rest of its vehicle lineup. Other automakers also participate in the ZEV credit system, of course, but if Anh's numbers are correct, then fuel cell vehicles earn more credits than battery electric vehicles do, so if you want to earn a lot of credits, hydrogen is a good way to go. You can find more details over at Wards Auto. *This post has been updated to mention other automakers using the ZEV scheme.

Hyundai returns to flashier design with 2018 Sonata

Compared to the stylistic achievement of the 2009 Hyundai Sonata, many observers viewed the redesigned 2015 Sonata as a step backward. To right the ship, Hyundai tasked its North American Design Center with restoring some razzle-dazzle to the brand's midsize contender for 2018. The creative team made changes throughout, the biggest development being the "cascading grille" at the front, cribbed from the Elantra. The Sonata Sport 2.0T grille gets a silver mesh treatment and vertical LED DRLs tucked in the triangular bumper vents at the corners. The other models wear chrome bars inside the grille, with vertical and horizontal LED DRLs at the corners. Slimmer headlights stretch around the front edges, with the hood sporting deeper chiseled surfaces to emphasize the injection of style. In back, instead of the hint of a spoiler on the current sedan, the 2018 Sonata's deck lid ends in a pronounced flick above a sharp taper into the rear valance. The license-plate holder moves down to the reshaped bumper so that the larger, flatter trunk face can fit much larger badging. The trunk release button hides inside the Flying H emblem, and wedge-shaped taillights glow with the same alien-script pattern familiar from the Elantra. Down below, non-Sport models get a single, trapezoidal exhaust tip, but the Sport 2.0T gets two such exhaust tips, paired with new Michelin tires and a flat-bottomed steering wheel. Engines don't change, but buyers who choose the 2.0-liter four-cylinder get an eight-speed automatic transmission that adds a cog at the low end and another at the high end. The rest of the lineup sticks with the present six-speed auto. Handling upgrades include 12-percent thicker torsion bars in the steering system and new steering calibration for better on-center feel and responsiveness, plus 21-percent thicker trailing arms and new bushings in the suspension for faster response and more compliance. Inside, a reworked center console holds steady with a seven-inch touchscreen. Interior designers gave the new HVAC and audio controls a silkier finish and contrasting "piano key" buttons. A second-row USB port serves back-seaters, and the options list will include a Qi wireless charging pad for those in front. The 2018 Sonata introduces a navigation bird's-eye view, free traffic data, standard blind-spot detection and rear cross-traffic alert, and a new lane departure warning system as some of the convenience and safety highlights.

Hyundai, Kia looking to cut costs

Hyundai and Kia are off to roaring starts in the United States this year, underscored by Kia's best sales month ever in May. But globally the situation for the South Korean siblings hasn't been nearly so positive. Recently, they reported their fourth consecutive quarter of decreasing operating profits worldwide, and now they're "making efforts to cut costs," according to a statement in a joint email obtained by Bloomberg. However, the companies aren't detailing where they would make the cuts or how much they want to save. The amount could be significant, though. An unnamed Hyundai senior executive reportedly told a South Korean newspaper that the business might be aiming for up to 30 percent in reductions. According to Bloomberg, Hyundai and Kia are facing falling total sales worldwide. Making the situation worse is that the strong Korean won versus the weaker Japanese yen gives competitors an advantage. The automakers also angered investors enough last year to prompt a stock buyback after paying $10 billion for the land for a future headquarters. The prognosis doesn't look utterly dire, though, and new products are on the way. For example, the Hyundai Santa Fe is being refreshed in South Korea, and the next-gen Elantra debuts at this year's Los Angeles Auto Show. There's also the Creta on the way for foreign markets. Additionally, several models are still awaiting the green light, including a Hyundai Genesis-based luxury crossover, a compact CUV, and the Santa Cruz unibody pickup. Meanwhile, the Kia GT is reportedly close to production, too. Related Video: