Hyundai to extend warranty for Korean consumers

[THE INVESTOR] Hyundai Motor  and its sister firm Kia Motors are extending warranties for cars running on faulty engines in South Korea, offering the same US warranty program for local customers.

The decision comes after the Korean auto giant came under fire for agreeing to compensate US customers only.

Hyundai will extend warranties for customers who bought Hyundai and Kia cars fitted with a 2-liter or 2.4-liter Theta II GDi engine from five years with 100,000 kilometers, to 10 years with 190,000 kilometers, it said on Oct. 12. Car owners who already fixed the engine will receive the full refund on the repair.

Some 224,000 vehicles, including Hyundai’s Sonata YF, the Grandeur HG, and Kia’s K5 TF, K7 VG and Sportage SL, are affected in Korea.

On Oct. 9, Hyundai Motor said it agreed to pay full repair costs for over 880,000 Sonata sedans in the US that were produced from 2011 to 2014, along with extending warranty, to resolve a class action lawsuit over the sedan’s alleged engine defect. Last year, Hyundai also recalled Sonata sedans from the 2011 and 2012 models.

However, the automaker initially did not apply the same measure in South Korea, saying the failure in the US-manufactured cars occurred due to conditions at the Alabama plant.

By Ahn Sung-mi (sahn@heraldcorp.com)