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Why BMWs are cheaper than Hyundais in Korea

Bloomberg reports shifting tariff regulations have upended the traditional automotive pecking order in Korea. Thanks to cheaper import taxes, foreign brands have seen market share jump from 28 percent to 41 percent over the last two years. BMW, Mercedes-Benz and Audi have all capitalized on the shift, with domestics like Hyundai and Kia suffering at the hands of their German rivals.
Taxes on European imports have fallen from 8 percent in 2011 to just 3.2 percent today. Over the next few years, tariffs will all but be eliminated for most imports, and taxes on US-made vehicles are expected to fall to just 4 percent in 2014. By 2016, that number will be zero. Needless to say, Hyundai and Kia are concerned about the shift.
Hyundai has seen profit fall by 15 percent last quarter, and the company says it is on pace to see the slowest sales growth since 2007. The company's shares have fallen by 12 percent. In order to stem the losses, Hyundai has discounted its midsize sedans and started working on diesel engine options.

2020 Kia Soul pricing starts at $18,485

Pricing for the 2020 Kia Soul hatchback-crossover-thing has been revealed, and it's a bit more expensive than the old model. The base manual transmission-equipped LX starts at $18,485, which is exactly $1,000 more than the old base manual model. And for those curious, the manual transmission is only available on the LX. The price gap is a tad narrower with the CVT-equipped 2020 Soul, which is only $800 more than the previous one at $19,985. Both versions of the LX, and all trims except the GT-Line with the turbo engine, get a naturally aspirated 2.0-liter inline-four making 147 horsepower and 132 pound-feet of torque. Stepping up from the base LX trim are several new variants. First up is the S that costs $21,285 and adds standard keyless entry, cruise control, automatic emergency braking, lane-keep assist, alloy wheels and body-color door handles and mirrors. The non-turbocharged GT-Line starts at the same price, and it brings sportier bodywork, bigger 18-inch wheels, and leather-wrapped wheel and shift knob. On the other hand, safety features standard on the S, such as blind-spot warning and rear cross-traffic warning, become options on the GT-Line. X-line is next and is similar to the GT-Line, but comes with crossover-inspired plastic body cladding, faux skid plates and real roof rails. It costs more at $22,485, though, and it gets even fewer safety features still, losing the GT-Line's options as well as lane-keep assist and automatic emergency braking. Topping out the range of Souls with the 2.0-liter engine is the EX at $23,685. It comes with all the features of the S plus heated mirrors, heated seats, dual-zone automatic climate control, 10.25-inch infotainment screen, wireless phone charging, push-button start, and leather-wrapped wheel and shift knob. At the top of the range is the GT-Line with turbo engine, and it starts at a shocking $28,485. That's $4,500 more than the outgoing turbocharged Soul, and it's right in line with some pretty serious sporty hatchbacks such as the VW GTI ($28,490), Mini Cooper S ($26,750) and Hyundai Veloster N ($27,820). Compared with other Souls, the top-spec GT-Line gets a force-fed 1.6-liter inline-four making 201 horsepower and 195 pound-feet of torque. It's coupled to a seven-speed dual-clutch transmission, the only transmission option.

Kia Forte5 hotted-up hatch could be coming back to U.S. market

CarBuzz discovered an executive order Kia submitted to the California Air Resources Board (CARB) that appears to leave a placeholder for a new Forte5. The previous Forte5 — the hatchback version of the Forte sedan — was sold in the U.S. until last year. The tailgated version didn't make the jump to the new-generation Forte sedan that went on sale in the latter part of 2018. The question is whether the lodged paperwork means we can expect a new Forte5 to come our way, or if Kia's U.S. arm is merely preparing for the possibility. Kia's CARB filing lists four 2020 model-year Forte trims: A Forte sedan without smart cruise control (SCC) that can be had with Kia's seven-speed dual-clutch transmission or a six-speed manual; a Forte sedan with SCC that comes with the DCT; a Forte5 with the DCT; and a Forte5 with the DCT and SCC. All four cars get a 1.6-liter four-cylinder. The only such engine Kia has is a turborcharged GDI unit with 201 horsepower and 195 pound-feet of torque, currently found in the Soul GT. The only engine available in the Forte sedan at the moment is a naturally-aspirated 2.0-liter four-cylinder with 147 hp and 132 lb-ft, with a CVT manipulating gear ratios. In an interview with Motor Trend at the 2018 Detroit Auto Show where the latest Forte sedan was launched, the Forte's product manager said, "We're not done with Forte. ... We have more exciting products that are coming that I can't speak of." We know there's a production version of the Forte GT on the way with the 1.6-liter, so that takes care of two of the listed vehicles. At the time of the interview, MT wondered if the Kia exec was alluding to "a return of the Forte5 hatchback," something cribbed off the gorgeous Proceed concept shown at the 2017 Frankfurt Motor Show. If we were to peer perhaps too closely at the tea leaves, in January of this year Kia launched the new Forte5 hatchback at the Montreal Auto Show (pictured). An exec with Kia Canada said that country is "the first in North America to get up close to a brand-new vehicle." Perhaps we'll be the second. That car in Canada comes with the 2.0-liter four-cylinder in base trim, and will offer the 1.6-liter as part of a "GT performance upgrade." We know the Forte GT sedan will come with nicer and sportier bits like LED headlights and 18-inch wheels on Michelin Super Sport tires. If there is a hotted-up Forte5 hatch on the way, we should know before too long.