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Hyundai, Kia Recall Moves Forward

Hyundai, Kia Recall Moves Forward

Hyundai and Kia lost that fight, and now must undergo their first-ever compulsory recall, as ordered by the South Korean transport ministry. This came after a tip off from a whistleblower. Hyundai and Kia have been arguing the five flaws pose no safety risk, but they said in a joint statement that they will cede to the compulsory recall order.

Hyundai and Kia initially rejected the recall, saying that the defects did not affect safety.

The subjected models include Hyundai's Avante compact, i30 hatchback, Sonata midsize sedan and Sante Fe crossover, the luxury Genesis G80 and EQ900 sedans and Kia's Mohave, Sorento SUVs and the Carnival minivan. The affected models are said to have several issues including faulty parts.

Hyundai and Kia have already incurred heavy losses from recalling cars equipped with defective Theta 2 engines.

The recall was brought about by the actions of a whistle-blowing engineer who worked for Hyundai, Kim Gwang-ho.

More news: Hong Kong rejects asylum for refugees who sheltered Snowden

The latest recall comes after the two firms offered to fix 1.5m cars in South Korea and the USA over possible engine stalling. Hyundai Motor later issued a statement accepting and respecting the recall, but added that there had not been any "reported injuries or accidents from the cited issues".

Regarding the question of whether it had knowingly covered up the defects, it said, "We make decisions on recalls and any other necessary customer protection steps in compliance with regulators around the world as well as our internal procedures". Hyundai and Kia have been criticized for the lackadaisical way in which they have dealt with questions about product quality.

The ministry also denied earlier reports that Hyundai Motor Group is considering to carry out a voluntary recall to fix its problems.

Upon receiving the ministry's recall order, the carmakers are required to announce their recall plans through media and notify the owners of affected vehicles of their planned recalls within the next 30 days, it said.

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