Accessibility links

Breaking News

Hyundai, Kia Fined $41 Million for Inflating Gas Mileage Claims

South Korea's largest automaker, Hyundai Motor, and its second largest, Kia Motors, reached a settlement with 33 states and Washington, D.C., over charges that they inflated their fuel economy numbers.

Korean carmakers Hyundai and Kia reached a settlement with 33 states and Washington, D.C., Thursday on charges it inflated the fuel economy numbers of 2011 to 2013 models.

The companies will pay $41.2 million in fines.

Hyundai and Kia have paid out $300 million to the federal government and compensated some car owners.

The states and Washington, D.C., attorneys general say the carmakers claimed their models got up to 100 kilometers for every 7.1 liters of gasoline when the actual number was less.

Hyundai and Kia deny breaking the law and blame the discrepancy on what they say were flawed government tests.

“Consumers who do thoughtful research and purchase a vehicle in line with their budget and their desire to protect the environment should be able to trust what automates say about their cars,” Washington, D.C., Attorney General Karl Racine said.