2014 Hyundai Elantra Limited on 2040-cars

Auto blog

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:

Hyundai testing more variants of top-secret commercial van

The commercial van market in the US is exploding with new products at the moment, with entries from Ford, Ram, Nissan and others. And we are seeing images (again) of Hyundai testing its own van in Europe, as well, though it's not known whether the model will make it to the US. While the company has offered work vehicles overseas in the past, this one appears to be a direct competitor to European vehicles with large bodies and tiny wheels like the Ford Transit and Mercedes-Benz Sprinter.
The latest images show off not just the standard commercial van but also the pickup version, and interior for the first time. According to our spy shooters, Hyundai did not want people to see the inside of the test vehicle, reaching out specifically in an attempt to secure the pictures you see here. It's hard to say what's worth being so secretive about, but that big infotainment screen certainly looks like a nice addition. We still aren't sure whether the Korean company has opted for front- or rear-wheel drive for the model, but the gearshift suggests that it's using a six-speed manual transmission.
The pickup truck version has a cab that looks just like the standard van. Testing this variant suggests that Hyundai is addressing the need for multiple body configurations in the commercial space.

NHTSA investigating 8 million airbags not made by Takata

In a shocking turn of events, we have a line of airbags under investigation that weren't made by Takata. Rather, Automotive News reports that 8,000,000 airbags made by ARC Automotive Inc. are under investigation by the National Highway Traffic Safety Administration (NHTSA). According to Automotive News, NHTSA is looking into ARC's airbags after two injuries and a recent death were attributed to the company's products. The two injuries occurred first and prompted the initial inquiry of 490,000 airbags, which then expanded after an airbag from a different line caused the death of a Canadian driver. The airbags in question are found in GM, FCA, Hyundai and Kia products, and all automakers are cooperating with the investigation, Automotive News reports. It is also important to note that these airbags have not been recalled, as NHTSA is trying to determine the issue and whether a recall is necessary. NHTSA also told the news outlet that the ARC inflators use a different design than those from Takata, instead using some pressurized gas and an ammonium nitrate charge. While the design may be different, the Takata inflators also used ammonium nitrate propellant, which other manufacturers have avoided. We will be watching this situation closely to see what develops. Here's hoping – for our collective safety and sanity – that we won't have to go through another airbag crisis like with the Takata recall. Related Video: News Source: Automotive NewsImage Credit: Shutterstock Government/Legal Hyundai Kia Safety FCA airbag fiat chrysler automobiles