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Tag: nissan motor corporation

  • Easily stolen Hyundais and Kias should be recalled, more than a dozen attorneys general say | CNN Business

    Easily stolen Hyundais and Kias should be recalled, more than a dozen attorneys general say | CNN Business

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    CNN
     — 

    A coalition of attorneys general for 17 states and the District of Columbia on Thursday called for a federal recall of Hyundai and Kia vehicles that they say are unsafe and too easy to steal.

    The attorneys general called for the recall “following the companies’ continued failure to take adequate steps to address the alarming rate of theft of their vehicles,” a release from California Attorney General Rob Bonta, who is leading the coalition, said.

    In a letter to the National Highway Traffic Safety Administration, the coalition requested a recall of “unsafe” Hyundai and Kia vehicles manufactured between 2011 and 2022 “whose easily bypassed ignition switches and lack of engine immobilizers make them particularly vulnerable to theft.”

    The vehicles in question, 2015-2019 Hyundai and Kia models, such as the Hyundai Santa Fe and Tucson and the Kia Forte and Sportage, when equipped with turn-key ignitions — as opposed to cars that only require a button to be pushed to start — are roughly twice as likely to be stolen as other vehicles of a similar age. Many of these vehicles lack some of the basic auto theft prevention technology included in most other vehicles, even in those years, according to the Highway Loss Data Institute, an industry group that tracks insurance statistics.

    These models became the subject of a viral social media trend in which thieves filmed themselves and others stealing Hyundai and Kia vehicles and taking them for a drive. In some parts of the country, the problem became so bad that some insurance companies refused to write new policies on these Hyundai and Kia models in places where the thefts had become extremely common.

    The models in question don’t have electronic immobilizers, which rely on a computer chip in the car and another in the key that communicate to confirm that the key belongs with that vehicle. Without the right key, an immobilizer should do just that — stop the car from moving.

    “Hyundai and Kia announced that they will initiate voluntary service campaigns to offer software updates for certain vehicles with this starting-system vulnerability. Unfortunately, however, this is an insufficient response to the problem and does not adequately remedy the safety concerns facing vehicle owners and the public,” the letter to the NHSTA said.

    Hyundai and Kia did not immediately respond to CNN’s request comment.

    The two South Korean automakers have created a software patch to fix the problem, the automakers have said. Hyundai and Kia operate as separate companies in the United States, but Hyundai Motor Group owns a large stake in Kia, and various Hyundai and Kia models share much of their engineering.

    The patch will be installed free of charge on models that need it, with software that requires an actual key in the ignition to turn the vehicle on. The software will also block the car from being started after the doors have been locked using the key fob remote control. The vehicle will need to be unlocked before it can be started.

    The software also extends the length of the alarm sound from 30 seconds to a full minute. Hyundai dealers will also affix window stickers stating that the vehicle has anti-theft software installed.

    “The bottom line is, Kia’s and Hyundai’s failure to install standard safety features on many of their vehicles have put vehicle owners and the public at risk,” Attorney General Bonta said. “We now ask the federal government to require these companies to correct their mistake through a nationwide recall and help us in our continued efforts to protect the public from these unsafe vehicles.”

    Recalls are ordered by NHTSA or, much more commonly, undertaken by automakers to correct safety-related defects. The attorneys general’s letter asserts that the ease of theft of these Hyundai and Kia vehicles constitutes a safety hazard and the vehicles fail to meet federal standards for theft prevention.

    “Moreover, thieves have driven these vehicles recklessly, speeding and performing wild stunts and causing numerous crashes, at least eight deaths, and significant injuries,” the letter said.

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  • Nissan recalling more than 700,000 SUVs that can accidentally shut off while driving | CNN Business

    Nissan recalling more than 700,000 SUVs that can accidentally shut off while driving | CNN Business

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    New York
    CNN
     — 

    Nissan is recalling more than 700,000 Rogue and Rogue Sport compact SUVs because they can be shut off accidentally while driving.

    Some model year 2016 through 2020 Nissan Rogue and 2017 through 2022 Rogue Sports, have jackknife-style keys – the type in which the metal blade of the key flips out from within a plastic key fob. An internal joint in the key can weaken over time, allowing the key to accidentally fold while in use. If this happens while the key is in the ignition, then the vehicle can be accidentally turned off if they is key is touched or bumped.

    The recall only involves the base Rogue S and smaller Rogue Sport S models. Nissan hasn’t yet worked out a solution to the problem, according to documents the automaker filed with the National Highway Traffic Safety Administration. Once a solution is available, according to NHTSA, it will be provided by Nissan dealers free of charge.

    In the meantime, owners of vehicles involved in the recall are advised not to attach anything to the keys that might pull it down and, also, to insert the key into the ignition in a direction that allows the key to fold fold only upward, not down.

    Nissan will begin alerting owners about the recall later in March. Owners with questions about recall can also call NHTSA’s Vehicle Safety Hotline at 888-327-4236.

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  • Renault will slash stake in Nissan as they overhaul their alliance | CNN Business

    Renault will slash stake in Nissan as they overhaul their alliance | CNN Business

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    Hong Kong
    CNN
     — 

    Carmakers Renault and Nissan have agreed to restructure their longstanding partnership, with the French company whittling down its stake in the Japanese firm to 15%.

    Under the agreement, Renault will transfer 28.4% of its shares in the Yokohama-based company into a French trust. Voting rights for that stake will be “neutralized” for most decisions, Nissan said in a statement, although Renault will continue to reap the financial benefits from the shares unless they are sold.

    Renault

    (RNLSY)
    and Nissan

    (NSANF)
    will each retain a 15% stake in one another’s businesses through a cross-shareholding agreement, with voting rights. Previously, Nissan

    (NSANF)
    had held a 15% non-voting stake in the French company, while Renault

    (RNLSY)
    owned about 43% of Nissan

    (NSANF)
    .

    The move marks a significant milestone in the 24-year-old auto alliance.

    Since 1999, both carmakers have worked in tandem, alongside junior partner Mitsubishi Motors

    (MSBHY)
    . The collaboration has typically allowed the companies to share production and technology, and ultimately save billions of dollars a year.

    But the group’s future was thrown into question in recent years, particularly after the stunning downfall of its former chief Carlos Ghosn in 2018.

    Ghosn, who had brought the three automakers together, was arrested in Japan, where prosecutors accused him of financial crimes. He fled Japan in 2019, saying he believed he would not have been given a fair trial.

    He has maintained his innocence and is currently in Lebanon, where he remains a fugitive. France, where he holds citizenship, issued an arrest warrant for him last spring.

    The scandal prompted speculation that the alliance would be broken up. But in 2020, the companies dismissed such chatter.

    More recently, Renault and Nissan disclosed that they were rethinking the nature of their relationship. Last October, both companies said that they were “engaged in trustful discussions” about the future of the alliance.

    In its Monday statement, Nissan said the two would continue to work together on projects in Europe, India and Latin America.

    The Japanese automaker will also invest in Ampere, Renault’s recently formed electric vehicle and software business, it added.

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  • Some auto insurers are refusing to cover certain Hyundai and Kia models | CNN Business

    Some auto insurers are refusing to cover certain Hyundai and Kia models | CNN Business

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    CNN
     — 

    Progressive and State Farm, two of America’s largest auto insurers, are refusing to write policies in certain cities for some older Hyundai and Kia models that have been deemed too easy to steal, according to the companies.

    Several reports say the companies have stopped offering insurance on these vehicles in cities that include Denver, Colorado and St. Louis, Missouri. The insurance companies did not tell CNN which cities or states were involved.

    The Highway Loss Data Institute released insurance claims data last September that confirmed what various social media accounts had been saying: Some 2015 through 2019 Hyundai and Kia models are roughly twice as likely to be stolen as other vehicles of similar age, because many of them lack some of the basic auto theft prevention technology included in most other vehicles in those years, according to the HLDI.

    Specifically, these SUVs and cars don’t have electronic immobilizers, which rely on a computer chip in the car and another in the key that communicate to confirm that the key really belongs to that vehicle. Without the right key, an immobilizer should do just that – stop the car from moving.

    Immobilizers were standard equipment on 96% of vehicles sold for the 2015-2019 model years, according the HLDI, but only 26% of Hyundais and Kias had them at that time. Vehicles that have push-button start systems, rather than relying on metal keys that must be inserted and turned, have immobilizers, but not all models with turn-key ignitions do.

    Stealing these vehicles became a social media trend in 2021, according to HLDI, as car thieves began posting videos of their thefts and joyrides and even videos explaining how to steal the cars. In Wisconsin, where the crimes first became prevalent, theft claims of Hyundais and Kias spiked to more than 30 times 2019 levels in dollar terms.

    “State Farm has temporarily stopped writing new business in some states for certain model years and trim levels of Hyundai and Kia vehicles because theft losses for these vehicles have increased dramatically,” the insurer said in a statement provided to CNN. “This is a serious problem impacting our customers and the entire auto insurance industry.”

    Progressive is also cutting back on insuring these cars in some markets, spokesman Jeff Sibel said in an emailed statement.

    “During the past year we’ve seen theft rates for certain Hyundai and Kia vehicles more than triple and in some markets these vehicles are almost 20 times more likely to be stolen than other vehicles,” he wrote. “Given that we price our policies based on the level of risk they represent, this explosive increase in thefts in many cases makes these vehicles extremely challenging for us to insure. In response, in some geographic areas we have increased our rates and limited our sale of new insurance policies on some of these models.”

    Progressive continues to insure those who already have policies with the company, he said. Progressive is also providing them with advice on how to protect their vehicles from theft.

    Michael Barry, a spokesman for the Insurance Information Institute, said it was very unusual for auto insurers to simply stop writing new policies on a given make or model of vehicle.

    “They generally want to expand their market share depending on where they’re doing business,” he said.

    Hyundai and Kia operate as separate companies in the United States, but Hyundai Motor Group owns a large stake in Kia and various Hyundai and Kia models share much of their engineering.

    Engine immobilizers are now standard on all Kia and Hyundai vehicles, the companies said in separate statements. Both automakers also said they are developing security software for vehicles that were not originally equipped with an immobilizer. Kia said it has begun notifying owners of the availability of this software, which will be provided at no charge. Hyundai said its free software free update will be available next month.

    Hyundai also said it is providing free steering wheel locks to some police departments around the country to give local residents who have Hyundai models that could be easily stolen. Hyundai dealers are also selling and installing security kits for the vehicles, the company said.

    Correction: A previous version of this story misstated the cost of Hyundai security kits.

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