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Hyundai And Kia To Pay US $100M For Overstating MPG

Korean automakers Hyundai and Kia will pay the U.S. government a $100 million penalty to end a two-year investigation into overstated gas mileage claims on about one-third of their models. The government says the civil penalty is the largest for a Clean Air Act violation in U.S. history. The discrepancy was discovered after the EPA got complaints about lower-than-advertised mileage on Hyundai's Elantra compact. Audits discovered overstated mileage on the Elantra and other models from 2011 into 2013. Hyundai says it made honest mistakes in interpreting complex EPA mileage test requirements. Neither company admitted liability and both maintain they complied with the law. Generally mileage was overstated by one or two miles per gallon on 13 vehicles. But one vehicle's highway mileage was 6 mpg higher than the EPA tested. Auto News Hyundai Kia mpg

Hyundai plans to catch up with other automakers, offer EVs

YONGIN, South Korea (Reuters) - South Korea's Hyundai Motor Co is developing its first dedicated architecture for electric vehicles, seeking to catch up with the likes of Tesla in the growing segment with multiple, long-range models. While the platform will not be completed soon, Hyundai Motor and affiliate Kia plan to roll out small electric sport utility vehicles (SUVs) based on an existing underpinning next year, said Lee Ki-sang, who leads Hyundai-Kia's green cars operations. Hyundai will launch an electric SUV, followed by a sibling model by Kia Motors next year, Lee said, citing strong demand for SUVs. The subcompact or compact models would have a range of more than 300 km (186 miles) per charge, and would be "more competitive" than rival offerings, Lee said. And Hyundai said in a statement on Thursday that it plans to launch a new luxury electric vehicle under its Genesis marque in 2021, after introducing a plug-in hybrid version of an unidentified Genesis model in 2019. The separate platform represents a major push into the battery electric-car segment for a firm which has long trumpeted rival fuel-cell vehicles, reflecting strong investor pressure to compete more vigorously in a market that has been stimulated by U.S.-based Tesla's longer-range models. And tough fuel-economy and emissions regulations in the United States, Europe and China are compelling automakers to push fuel-efficient cars even though low oil prices have undercut demand. Hyundai's electric-car platform would allow the automaker to install a battery pack in vehicle floors to accommodate more battery capacity and maximize cabin space, Lee said. "The electric-vehicle platform will require high up-front investments, but we are doing this to prepare for the future," he said at Hyundai-Kia's green car research center in the city of Yongin, outside Seoul. He did not reveal the cost. Lee, a senior vice-president at Hyundai Motor, was speaking during an interview on the eve of an auto show that kicked off in Seoul on Thursday. Analysts said Hyundai had no choice but to build separate electric-vehicle platforms to be relevant in the segment. "The separate platform may incur losses initially, but Hyundai will be left behind the market if they don't offer long-distance models, like 300 km, 500 km and 600 km," said Ko Tae-bong, an analyst at Hi Investment & Securities.

2016 Hyundai Tucson shows off its European trim ahead of Geneva

Hyundai is unleashing the first details about its next-generation Tucson ahead of the crossover's official debut at the 2015 Geneva Motor Show on March 3. So far, the Korean automaker is only talking about European specifications for the latest model that goes on sale in the second half of 2015 there. Still, this glimpse should give a good idea of what to expect from the future version inevitably coming to the US. The new Tucson largely blends the look of the current Santa Fe and last year's Intrado concept into a more angular, rugged CUV than the current model. As in the earlier teaser video, Hyundai's designers gave the latest generation horizontal, chrome-accented slats in the hexagonal grille to match the look of the other recent members in the lineup. The hood also takes on the somewhat flatter design from the Santa Fe, but the lower air dam wears an eye-catching mix of intakes, foglights and LEDs. In profile, there's a distinctive crease down the side, and the wheel wells subtly reinterpret the squared-off look from the Intrado. Inside, Hyundai claims that it focuses on improving material quality, and it's offering an attractive new Wine Red leather interior with black contrast to European buyers. There are also available heated and ventilated seats, and a faster infotainment system. The company is upping the safety assists too with features like Autonomous Emergency Braking, Lane Keeping Assist, Blind Spot Detection and more. These European models are made in the Czech Republic and offer quite an array of powertrain options. The gasoline choices are either a naturally aspirated 1.6-liter four-cylinder with 133 horsepower or turbo 1.6-liter mill with 174 hp. Diesel selections include a 1.7-liter with 113 hp, 2.0-liter with 134 hp or another tune with 182 hp. Transmission possibilities are either a six-speed manual or automatic, but the 1.6-liter turbo is available with a seven-speed dual clutch. North America will likely get its own drivetrain mix, though. Hyundai didn't release too many shots of the new Tucson. But we'll have live images from the Swiss show floor in a few weeks time.