Unrealistic fuel economy figures are a growing source of anger among motorists, and an issue that the EU has pledged to crack down on. It turns out the problem is the same in the US, as Hyundai and Kia have both admitted to overstating fuel economy figures and paid a record settlement to regulators.
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The South Korean brands were accused of exaggerating the official fuel efficiency by up to six miles per gallon in 1.2 million cars. This also meant that CO2 emissions were underreported to the us environmental protection Agency. Both carmakers admitted to this back in 2012.
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As well as the $100 million settlement, the largest ever figure paid for a violation of the clean Air Act, Hyundai and Kia have been forced to forfeit emissions credits for understating figures, which are worth approximately $200 million.
On top of this, the two firms have been made to spend $50 million to implement measures to prevent this happening again, meaning the settlement totals $350 million.
The underreporting of greenhouse gas emissions are the equivalent of 4.75 million metric tonnes of CO2. The figures apply to current automobiles such as the Hyundai Santa Fe and Veloster, as well as the Kia Rio and Soul, and non-UK models such as the Hyundai Accent and Elantra.
Hyundai’s North American CEO, David Zuchowski, says the firm is “pleased to put this behind us”, as well as stating that despite the adjusted figures, Hyundai “continues to lead the automotive industry in fuel efficiency”.
Both companies’ share price fell nearly 6% after markets had closed on the day of the announcement.
Do you think there are other manufacturers that could be accused of overstating fuel economy? let us know in the comments below…