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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.

Kia Soul to get AWD?

The funky Kia Soul is one of the three affordable, efficient and style-first boxes on sale today (along with the Scion xB and Nissan Cube). Like its competition, it sits atop a front-drive platform with a longitudinally mounted four-cylinder engine.
It's a dandy car in this setup, but it sounds like Kia may be looking to differentiate the Soul from the herd by offering an optional all-wheel-drive system in the future. According to the report filed by Kia World, the popularity of the small, stylish crossover segment is expected to expand considerably over the coming years, especially overseas.
Citing the optional all-wheel drive on the Renault Captur, Ford Ecosport and Opel Mokka (Buick Encore in the US), along with the eventual arrival of a sub-Tiguan Volkswagen, called the Taigun, an all-wheel-drive Soul seems to make a lot of sense for these foreign markets. In the American market, meanwhile, AWD would open the Soul up to a new segment of buyers that like its looks but want all-wheel ability. Kia World is claiming the Soul AWD could hit markets in 2016 wearing a ruggedized version of the sheetmetal shown on the 2014 Soul that debuted in earlier this year in New York. Expect a bit of extra ground clearance to accompany the new drivetrain. Finally, all-wheel drive would likely only be available on the mid-range Soul + and top-spec Soul !.

2017 Kia Cadenza is a redesigned head scratcher

The second-generation Kia Cadenza has unexpectedly bowed at the 2016 New York Auto Show, and we're left wondering how this thing even survived to get a second generation. The Cadenza has been on sale since 2013 and it's never sold over 10,000 units in one year. Even if you combine US and Canadian sales, Kia's best year for the Cadenza was 2014, where it sold just 9,427 cars. So, what's Kia done to the second-gen car to improve on that disappointing stat? Perhaps the biggest change is the platform the Cadenza rides on. It's lighter and stiffer, which means it's probably going to be a far better dancer than the boat-like first-gen model. Cutting the weight also allowed Kia's engineers to fit more sound deadening, which alongside a sound-absorbing laminated windshield and front windows will likely lead to a quieter ride. Better handling and a quieter ride? Okay Kia, we're paying attention. The Cadenza's 3.3-liter V6 still sits under hood, but it's paired to an eight-speed automatic for the first time. That, alongside a new tune for the engine, should improve on the current Cadenza's 19-mile-per-gallon city and 28-mpg highway stats. Kia hasn't released an estimate of how much of an improvement it will be, but we suspect it'll be modest. Frankly, we're still a bit confused about why Kia is carrying on with the Cadenza. Its rivals sell in far higher volumes – in 2015, the Nissan Maxima sold over 40,000 units, the Buick LaCrosse did 42,000, and the Toyota Avalon did 60,000 – and two of those cars, the Maxima and LaCrosse, have just been fully and completely reworked. Then take into account America's increasing disdain for sedans/infatuation with crossovers, and Kia pushing through the second-gen Cadenza is just a puzzling move. Still, the visual updates, platform improvements, and powertrain changes are positive – will that be enough to turn around the Cadenza's struggling sales? We have no idea, but things can't get much worse.