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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.

Surprise Costs Have A Cost: Why we turned down the Hyundai Tucson Fuel Cell

They say you can always tell the pioneers. They're the ones with the arrows in their backs. Unfortunately, that was our experience pursuing – and eventually rejecting – the new hydrogen fuel cell-powered Hyundai Tucson. I first heard about Hyundai's new hydrogen fuel cell vehicle (FCV) at the Los Angeles Auto Show in November 2013. As a tech buff, the thought of driving a new, clean technology vehicle sounded exciting. Best of all, Hyundai was wrapping the new vehicle in a smart, familiar package, as a loaded current-generation Tucson SUV. The FCV Tucson was billed as $499 a month with $2,999 down, with free fuel and free maintenance. Our family needed a new, small, fuel efficient SUV, so I signed up for information on the upcoming lease program. Someone has to go first. Why not us? In the spring of 2014, I learned more at a Clean Fuel Symposium, held on the Queen Mary in Long Beach. The panel was packed with experts on alternative fuel vehicles. One spokesperson outlined the chicken or egg problem with alternative fuels like hydrogen: fuels first or vehicles? Another said something that I should have heard more clearly. "If the argument [to move to alternative fuel vehicles] has to start with a change of behavior from consumers, that's a hard row to hoe." I would soon to learn what an FCV would really cost, both in hours and in dollars. Nonetheless, I was ready to try jumping the hurdles and get an alternative fuel car. A low impact on the environment, plus free fuel and a solo car pool lane sticker? What could go wrong? My wife was a much harder nut to crack. My habit of jokingly calling it a "nuclear-powered" car probably didn't help much either. Our conversations went like this: "A what kind of car?" "Hydrogen fuel cell." "What?" "It's essentially an electric car." "Don't those things have a really short range?" "Yes. That's what the hydrogen is for. You fill it with hydrogen to fill the fuel cell, instead of charging it overnight like an electric car." "Where do you get hydrogen?" "Well..." It turned out the nearest hydrogen station was in Burbank, about 13 miles from our house. In LA traffic, that could be more than half an hour's drive each way. Since there's an excellent bakery in Burbank (Porto's), I told my wife I was fine with taking the time each week to fuel up every 200 miles or so.

Hyundai recalls some 2011 Sonatas: Airbags might not deploy

Hyundai is recalling certain 2011 model-year Sonata midsize sedans, saying the airbags may not inflate in a crash. Hyundai says in a government filing that the airbag control unit may short circuit in a crash and prevent the front and side airbags from inflating and the seatbelts from tightening. The automaker says it is aware of four incidents in which owners of the 2011 Sonata reported airbag failure during a crash. Only 1 percent of models are estimated to be defective. The recall affects 154,753 Sonata models built between Dec. 11, 2009, and Sept. 29, 2010, at Hyundai's Alabama assembly plant. It starts April 20. Hyundai says the remedy for the recall is still being developed. This recall is not related to the massive global Takata recall. Separately, Hyundai this week issued a recall for nearly 44,000 Santa Fe and Santa Fe Sport SUVs, both from 2018, following reports of the steering wheel detaching from the steering column. In that recall, dealers will replace the steering wheel assembly, if necessary. Affected owners are to be notified starting March 16. Related Video: Image Credit: Hyundai Recalls Hyundai Auto Repair Safety Sedan airbag hyundai santa fe hyundai santa fe sport