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KIA Motors chose AP due to "their internal policy": TN Govt

KIA Motors chose AP due to

The South Korean government on Friday ordered vehicle makers Hyundai and Kia Motors to recall about 240,000 cars, after a tip off from a whistleblower, the media reported.

After Hyundai Motor and Kia Motors refused a government request to recall several of their vehicles last month, the Ministry of Land, Infrastructure and Transport held a hearing on Monday to discuss the automakers' objections.

"Our company has explained the five cases, which the ministry's orders were based on, do not pose safety risks".

Hyundai and Kia have now accepted the government's recall order. "We will put forth all efforts to put together an action plan for customers as soon as possible".

The transport ministry asked the automakers to recall the faulty vehicles over eight of the 32 issues identified while offering free repairs on nine of the faults.

The models under scrutiny include the Hyundai i30 hatchback, Sonata midsize sedan, Genesis and Kia's Mohave and Carnival. When allegations have been made about vehicle defects, the two companies have been quicker to make excuses and take internal correction measures than to come clean about the facts and issue a recall, critics say.

The recall is a blow to the both Hyundai and Kia. Immediately after the Ministry's announcement, Hyundai and Kia said they would accept the recall decision. However, the ministry said, considering the companies' previous recall cases and the safety of consumers, it decided to make the recall compulsory.

The ministry has also asked prosecutors in Seoul to investigate whether the automakers allegedly covered up the five flaws that affect 12 models.

We wrote about the recall earlier this week - Hyundai and Kia were fighting the government's decree that the two brands proceed with a voluntary recall.

Sales of sport utility vehicle (SUV) in the Korean market plummeted 18.9 percent in April from the same period a year ago due to a lack of new models in local carmakers' SUV lineup.



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