Hyundai, Kia to raise fuel efficiency by 25%

By Park Jin-hai

Hyundai Motor Group said Thursday it will improve its vehicles’ average fuel efficiency by 25 percent by 2020.

The announcement came after Hyundai and its sister firm Kia Motors were fined a record $300 million in the U.S. for overstating their vehicles’ fuel economies Monday.

The “2020 Fuel Efficiency Improvement Roadmap,” on the direct orders of Hyundai Motor Group Chairman Chung Mong-koo, is focused on three main areas: developing powertrains, lightweight car technology and eco-friendly cars.

“By achieving the fuel efficiency improvement targets as shown in our roadmap, not only are we going to secure a competitive edge in the field, but also deal with the tightening emissions regulations in Korea, the U.S. and Europe preemptively,” the company’s spokesman said in a statement.

In the first half of this year Chung set the goal of world-class competitiveness in fuel economy by 2020. Under his leadership, Hyundai’s Next Generation Powertrain Task Force Team has been inaugurated to establish a set of targets and procedures that will lead to improved mileage in Hyundai cars.

As for powertrain development, seven out of the company’s 10 engine lineups will be upgraded into next-generation engines.

Gasoline engine lineups will vary. The current Nu 2.0-liter engine mounted on mid-sized cars and the Kappa engine on compacts will be upgraded, while new turbo engines will be developed. The world-acclaimed Hyundai R- diesel engines will be replaced with more powerful ones.

More advanced transmissions will be developed as well.

The automakers predict that the new gasoline engines will give the company an 11-13 percent improvement in fuel efficiency, while the diesels will offer a 16-18 percent improvement.

They will also expand use of advanced, high-strength steel to make vehicles lighter, raising the ratio from the current 33-55 percent to 48-62 percent by 2018.

The companies have already increased their use in the new Sonatas, Genesises and Sorentos, up to 52 percent.

“By upping the use of high-strength steel and lightweight materials, we will lessen the vehicles weight by 5 percent and more, improving fuel economy,” said the spokesman.

Their environmentally friendly car lineups will be promoted. Next year, the automakers will launch a mid-sized hybrid model and new plug-in hybrid version of Sonata.

More electric vehicles and hydrogen fuel cell cars will also be launched.

They are currently developing a system so that all vehicle models will be eco-friendly by 2020, said the companies.