Hyundai’s Crater Concept SUV will be equipped with a roll cage, skid plates and larger wheels
Hyundai unveiled a new concept off-road SUV at the LA Auto Show.
South Korean automakers Hyundai Motor Co 005380.KS and Kia Motors Co 000270.KS agreed on Tuesday to modify 7 million U.S. cars to address theft concerns and install anti-theft devices on all new vehicles to resolve an investigation by a bipartisan coalition of 35 attorneys general.
The state attorney general said the automaker will provide zinc-reinforced ignition cylinder protectors free of charge to owners of eligible vehicles, including vehicles that were previously eligible only for the company’s software updates. The companies also agreed to equip all future U.S. cars with engine immobilizer anti-theft technology to curb auto theft using techniques popularized on TikTok and other social media channels.
Hyundai said the hardware update would be available for about 4 million vehicles, while Kia said it would affect about 3.1 million U.S. vehicles.
In 2023, regulators said TikTok videos showing how to steal a car without a push-button ignition device or how to immobilize an anti-theft device led to at least 14 crashes and eight deaths in the United States.
Automakers pay compensation
Hyundai and Kia will also pay up to $9 million in restitution to consumers and the state to cover the costs of the investigation. Minnesota Attorney General Keith Ellison, citing automakers’ estimates, said the cost to install ignition cylinder protectors in all affected vehicles could exceed $500 million.
“Hyundai and Kia failed to equip their vehicles with industry-standard anti-theft technology, resulting in a wave of auto thefts that cost Minnesotans their cars, their hard-earned money, and sometimes even their lives,” Ellison said.
Hyundai said the investigation’s resolution is another step in addressing thefts related to certain 2011 to 2022 model vehicles without engine immobilizers. “This cooperation agreement builds on Hyundai’s continued efforts to strengthen vehicle security against theft techniques prevalent on social media,” Hyundai said in a statement.
Kia Motors said the agreement “is the latest in a series of steps Kia has taken to support customers who have been victims of crime.” Kia said the zinc sleeve hardware improvements will help counter social media-inspired theft techniques by “strengthening the ignition cylinder body and preventing removal.”
Once eligible consumers receive notification in early 2026, they will have until the end of March 2027 to install an ignition cylinder protector at their local dealership.
Hyundai and Kia have agreed to settle a consumer class action lawsuit worth $200 million over the South Korean automaker’s rampant vehicle theft in 2023, according to lawyers for the owners. In 2023, automakers also provided software upgrades to 8.3 million U.S. vehicles that do not have anti-theft immobilizers.
Reporting by David Shepherdson in Washington. Editing: Rod Nickel
