Hyundai Electric Vehicle Recall to Cost $900 Million to Replace Batteries

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Hyundai released its IONIQ 5 electric SUV earlier this week, after a 2020 riddled with electric vehicle (EV) recalls of its Kona EV.

In report from Reuters Tuesday, it was shared that Hyundai will need to replace battery systems in 82,000 EVs across the globe, due to apparent fire risk. The recall will cost the company $900 million (USD), and will be the first full-scale battery replacement in an EV line.

And to think, Hyundai was apparently ready to build an EV for Apple just weeks ago.

The recall, which largely concerns the Hyundai Kona EV, which was the company’s best-selling car late last year when the first recall surfaced following a number of engine battery fires. Upon further fires coming to light in January, the South Korean authorities launched a new investigation into the first recall to find out if it was sufficient.

Few IONIQ EV models and electric city buses have also been included in the recall, though the vast majority of cars recalled are Kona EVs.

In a statement from LG Chem Ltd, the battery manufacturer, the company claimed that Hyundai had simply misapplied the battery cell, and that the battery manufacturer claimed no responsibility for the fires. LG Chem Ltd also makes batteries for Tesla and a number of other EV companies.

Regardless, the company is advising owners to only charge to 90% to avoid the risk of fires, until the batteries can be replaced.

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