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Hyundai, Kia earmark $760 million to settle U.S. lawsuits over engine fires

SEOUL — Hyundai and affiliate Kia have earmarked 900 billion won ($758 million) to settle U.S. class action litigation and address engine-related issues including fires and failures in the United States and South Korea. The move marks the South Korean auto giant's first major effort to resolve years of trouble over engine defects that have also sparked probes by the U.S. safety regulator and prosecutors. Hyundai Motor will make a provision of about 600 billion won in its July to September earnings while Kia will book one for about 300 billion won, they said on Friday. Hyundai and Kia said in a statement that under the U.S. settlement they would install software to monitor for symptoms of engine failure and take other steps, including offering compensation options and lifetime warranties. A total of 4.17 million Hyundai and Kia models equipped with Theta II gasoline direct injection (GDI) engines, which were sold in naturally aspirated 2.0-liter and 2.4-liter displacements, and had a turbocharged derivative, will be affected by the U.S. settlement. Hyundai and Kia, together the world's fifth-biggest automaker by sales, recalled nearly 1.7 million vehicles in the United States to address the possibility of engine fires. In November, Reuters reported that U.S. federal prosecutors had launched a criminal investigation to determine if the recalls had been conducted properly. Since 2017, the U.S. safety regulator has been investigating whether the recalls covered enough vehicles and were conducted in a timely manner. The investigation comes after Kim Gwang-ho, then an engineer at Hyundai, flew to Washington in 2016 to tell the National Highway Traffic Safety Administration (NHTSA) the companies should have recalled more vehicles over the problem, citing an internal report. Hyundai Motor at that time denied allegations. The NHTSA this year opened a fresh investigation into 3 million Hyundai and Kia vehicles after reviewing reports of more than 3,000 fires that injured more than 100 people. That probe came in response to a petition seeking an investigation filed in June by the nonprofit Center for Auto Safety.

Hyundai working on clean-sheet, hydrogen-powered CUV

Autocar reports that Hyundai is working on its next hydrogen fuel cell vehicle, and that the coming vehicle will be a clean-sheet design and likely a crossover. The South Korean company will soon have its Toyota Prius-fighting Ioniq hybrid on the market, now it is said to have placed a bullseye on the Toyota Mirai FCEV. This follows news that Kia is developing a brand new fuel-cell hybrid for launch by 2020, the theory is that platform will be shared with Hyundai, who will launch it first. The bodystyle isn't confirmed, but making it a crossover would take advantage of two important factors, one being the ongoing sales boom of compact and mid-sized SUVs. The second is that according to Sae-Hoon Kim, head of the company's fuel cell research, "all customer feedback says range and boot space are the priorities." Since bigger tanks typically mean less trunk space, a crossover would offer the best opportunity for maximizing both. A people-hauler could also make design and brand connections with the Kia Niro hybrid crossover. Hyundai is hoping to get a range of 500 miles out of the new vehicle, which would mark a 25-percent improvement over the range of the Tucson FCEV currently on sale. When it arrives it will give Hyundai a dedicated player in three alternative powertrain domains, joining the Ioniq plug-in hybrid and the pure electric vehicle it promised for launch by 2017. That could be seen as merely hedging bets, but the company does believe in hydrogen, Kim saying, "Every solution leads to hydrogen; either you use renewable energy sources to create and store hydrogen, or you use traditional fuels like coal to create hydrogen. Either way, hydrogen is the way to store energy and control supply and demand."

Driving the Toyota 4Runner TRD Pro and GMC Sierra AT4 | Autoblog Podcast #713

In this episode of the Autoblog Podcast, Editor-in-Chief Greg Migliore is joined by News Editor Joel Stocksdale. They've been driving the 2022 GMC Sierra 1500 AT4 (no, not the updated version) and Toyota 4Runner TRD Pro, as well as Autoblog's long-term Hyundai Palisade. In the news, they say farewell to BMW's V12, discuss Bollinger Motors' shift to commercial vehicles and a teaser of the 2023 Toyota Sequoia. Send us your questions for the Mailbag and Spend My Money at: Podcast@Autoblog.com. Autoblog Podcast #713 Get The Podcast Apple Podcasts – Subscribe to the Autoblog Podcast in iTunes Spotify – Subscribe to the Autoblog Podcast on Spotify RSS – Add the Autoblog Podcast feed to your RSS aggregator MP3 – Download the MP3 directly Rundown Cars we're driving 2022 Toyota 4Runner TRD Pro 2022 GMC Sierra 1500 AT4 2021 Hyundai Palisade BMW 'The Final V12' special edition 7 Series marks the end of an era Bollinger Motors pumps brakes on consumer EVs to focus on commercial trucks 2023 Toyota Sequoia teased again, adds reveal date Feedback Email – Podcast@Autoblog.com Review the show on Apple Podcasts Autoblog is now live on your smart speakers and voice assistants with the audio Autoblog Daily Digest. Say “Hey Google, play the news from Autoblog” or "Alexa, open Autoblog" to get your favorite car website in audio form every day. A narrator will take you through the biggest stories or break down one of our comprehensive test drives. Related Video: Podcasts BMW GMC Hyundai Toyota Truck Crossover SUV Commercial Vehicles Electric Off-Road Vehicles Performance Sedan