Hyundai froze assembly of Kona EV over fire recallApril 22, 2021
Hyundai has ceased production of new Kona electric vehicles for sale in the domestic market. The brand’s best-selling electric car reputation has suffered from numerous reviews following a battery fire.
Hyundai intends to sell Kona electric vehicles from a warehouse, while freezing the assembly of new ones for South Korea, the Yonhap news agency writes. Overseas sales will continue.
As a reminder, the production of Kona electric vehicles was stopped in March due to domestic demand and the restructuring of the assembly line for new electric vehicles.
After reports of the Kona EV caught fire, sales in Korea dropped. Hyundai sold 8,000 Kona electric vehicles in 2020, up from over 10,000 in 2019 and 2018. Meanwhile, sales in the first quarter of 2021 were down 40%. Sales abroad in the first quarter of 2021 fell by almost 18%.
Hyundai first recalled the Kona EV in October 2020. The company initially tried to fix the problem with a software update, but eventually admitted that repairs could involve a complete battery replacement.
Globally, the recall could affect up to 100,000 units and cost Hyundai $ 900 million. However, Hyundai is pushing ahead with its electric propulsion with the Ioniq 5. Despite the recall of the Kona EV, internal response to the Ioniq5 has been strong.
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