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Hyundai, Kia ratchet up fleet sales as retail transactions slide

Automotive News reports both Hyundai and Kia have stepped up fleet sales in an attempt to offset disappointing first quarter results. The Korean automakers saw their sales decline by nine percent compared to last year, while all major competitors managed to increase their sales. That situation marks an inversion of two years ago, when both gained ground after Japanese rivals suffered production and inventory shortages after the country's earthquake and tsunami tragedies.
Now, Hyundai can't come up with enough volume models in popular trim configurations to satisfy buyers, and lower-volume models are also in a snag. At the moment, Hyundai can only build 20-30 percent of Veloster hatchbacks with turbocharged engines while the US market would apparently support closer to 70 percent.
In order to reverse the sales slide, Hyundai and Kia have stepped up fleet sales of the vehicles they do have by some 50 percent, ringing up a total of 42,400 units in the first quarter. By contrast, Automotive News reports the seven largest automakers increased retail volume by seven percent and fleet sales by four percent as a group.

Limited-edition Kia Stinger GTS gets all-wheel drive with a drift mode

The Kia Stinger is currently available with either rear-wheel drive or all-wheel drive, each with fairly distinct characters. With the limited-edition Stinger GTS, Kia wants to blend the best parts of each and create a third option for buyers: Drift Mode. Although the GTS will still be available as RWD or AWD, the all-wheel setup is focal point of the new limited-edition model. Revised to integrate "rear-wheel DNA," the new D-AWD system features a mechanical limited-slip rear differential for improved traction and power distribution. Kia also says the control logic has been tuned with a new transmission shift pattern, improved stability control, better slip control, and countersteer detection. The D-AWD-equipped Stinger GTS will have three different driving modes: comfort, sport, and drift. Comfort mode sends 60 percent of power to the rear, sport mode sends 80 percent to the rear, and drift mode gives the rear wheels 100 percent control. Drift mode will also hold gears to maintain power. No powertrain alterations will be made, as the GTS will get the 365-horsepower twin-turbo 3.3-liter V6 that pairs with an eight-speed automatic transmission. The rest of the changes aim to make the GTS feel slightly aftermarket. It gets an exclusive Federation Orange paint job, a Stinger emblem on the rear, and a rear GTS badge. Kia also gave the GTS real carbon fiber on the hood, side mirror caps, and side vents. Inside, the GTS is equipped with a Chamude headliner, an Alcantara steering wheel and center console, a wireless smartphone charger, a 720-watt Harmon/Kardon sound system, and a sunroof. Kia plans to start production of the GTS this spring and is limiting the run to 800 units. The RWD model starts at $44,995, and the AWD model starts at $47,495. Featured Gallery 2020 Kia Stinger GTS: New York 2019 View 14 Photos Related Gallery Kia Stinger GTS View 16 Photos News Source: KiaImage Credit: Live photos copyright 2019 Drew Phillips / Autoblog.com New York Auto Show Kia Hatchback Performance Sedan 2019 new york auto show drift mode

Hyundai, Kia to temporarily close U.S. plants in path of Irma

SEOUL — South Korea's Hyundai and sister car maker Kia said on Monday they planned to temporarily shut down plants in the United States to avoid potential damage from Hurricane Irma. The shut down comes at a time Hyundai's U.S. sales have fallen more than the market average, and after it recently announced plans to expand its SUV lineup and launch a pickup truck in the market in an attempt to reverse the slide. In a statement, Hyundai Motor said it would suspend operation of its Alabama plant for two days - between Monday and Wednesday — while Kia Motors will stop operation of its Georgia plant for one day - between Monday and Tuesday. The suspension is expected to result in lost production of about 3,000 vehicles for both, the Yonhap news agency earlier said on Monday, citing a Hyundai Motor group spokesman. A Hyundai spokeswoman declined to comment on the number. Hurricane Irma took aim at heavily populated areas of central Florida on Monday as it carved a path of destruction through the state with high winds and storm surges that left millions without power, ripped roofs off homes and flooded city streets. Hyundai's U.S. sales are down nearly 11 percent this year through July 31, worse than the overall 2.9 percent decline in U.S. car and light truck sales. Sales of the Sonata, once a pillar of Hyundai's U.S. franchise, have fallen 30 percent through the first seven months of 2017. In contrast, sales of Hyundai's current SUV lineup are up 11 percent for the first seven months of this year. Reporting by Joyce LeeRelated Video: Plants/Manufacturing Hyundai Kia alabama