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New Kia Sorento in Europe offers choice of two diesel engines
<p><strong>New Kia Sorento in Europe offers choice of two diesel engines.</strong></p>

Hyundai Kia Reconsidering Diesels for U.S.

Hurdles surrounding the engine technology aren&rsquo;t necessarily gone but are better understood, a senior Hyundai/Kia official says.

SOUTHFIELD, MI – After previously writing them off as not right for the U.S. market, Hyundai/Kia now is thinking of adding diesel engines to its powertrain mix.

“We do see some value with diesels. It’s something that’s a strong consideration for us at this point,” John Juriga, director-powertrain for Hyundai/Kia America Technical Center, tells WardsAuto during an Oct. 6 meeting to discuss the automaker’s entries for the 2015 Ward’s 10 Best Engines competition.

Hyundai “seriously” considered having diesel powertrains in U.S. models 4-5 years ago, Juriga says, but the automaker backed away from the idea due to forthcoming stricter emissions standards, the cost of treating diesel emissions, the added cost diesel technology tacks onto a vehicle and the higher price of diesel fuel compared with unleaded gasoline.

Juriga says that today, “A lot of those issues haven’t necessarily been eliminated, but they’ve been understood better, and I think now we see a more direct path to implementing diesels.”

Even if those issues weren’t subsiding, diesel may be a necessary powertrain play for Hyundai/Kia to meet the higher fuel-economy targets specified by the U.S. government.

“Especially in the ’17 to ’25 model years, that fuel-economy curve gets very, very steep, so I think we need to take a look again at other technologies to make sure we can meet those requirements,” Juriga says.

U.S. CAFE standards specify each automaker’s sales-weighted fleet, including light trucks, to achieve an average of 35.5 mpg (6.6 L/100 km) by 2016. That figure jumps to 54.5 mpg (4.3 L/100 km) by 2025.

On Oct. 8, the EPA reported Hyundai’s ’13 model-year fleet average was 29.0 mpg (8.1 L/100 km) and Kia’s 27.4 mpg (8.6 L/100 km), but the agency notes those figures are adjusted for real-world performance and thus not comparable to compliance standards.

Hyundai/Kia will employ a wide variety of technologies to help it achieve the CAFE targets.

It already offers hybrids, in the form of the Hyundai Sonata and Kia Optima hybrid sedans, and the automaker just introduced its first full electric vehicle in the U.S., the Kia Soul EV, although initially the compact car is available only in California.

For the 2016 to 2021 period, Juriga says Hyundai is debating bringing to market cylinder deactivation, plug-in hybrid-electric vehicles and exhaust-heat recovery, among other technologies.

For 2021 to 2025, 9- and 10-speed automatic transmissions are foreseen as a way to achieve better fuel economy in Hyundais and Kias, as is exhaust-gas-recirculation boost.

“We’re looking at a multi-prong approach, because there is no single answer,” Juriga says.

Finding the “right application” for a diesel engine in the U.S. is key, he says, noting the Chevrolet Cruze Diesel makes up just 3% of the compact sedan’s total U.S. sales, and the vehicle has to duel with diesel-strong Volkswagen and its Jetta C-car.

“You can have the technology, but if no one buys it, so what, what does it mean?” he asks.

Juriga doesn’t divulge what Hyundai/Kia believes is the right segment for a diesel but says customers will be more accepting of the technology and willing to pay a premium for the engine type in the correct product.

Five-to-six years ago, Hyundai planned to offer its 3.0L V-6 S-diesel from Europe and Asia in its largest utility vehicles in the U.S.: the now-defunct Hyundai Veracruz large CUV and Kia Borrego SUV.

Former Hyundai CEO John Krafcik told WardsAuto in a 2009 interview Hyundai killed the S-diesel plan due to concerns about meeting U.S. emissions standards and the premium Hyundai would have to charge for a vehicle with the mill.

Hyundai and Kia continue to offer diesels in most models in Europe and some sold in Asia.

The next-generation Kia Sorento midsize CUV that debuted at the recent Paris auto show will offer two turbocharged inline 4-cyl. diesels: a 182-hp 2.0L and a 197-hp 2.2L. A 2.4L gasoline-direct-injected 4-cyl. also is available in the European Sorento, making 185 hp.

In Hyundai/Kia’s home market of South Korea, diesel vehicles outsold those with gasoline engines for the first time in 2013. More torque, better fuel economy and less-expensive fuel costs there are driving the trend.

Around Metro Detroit, diesel fuel currently costs about $0.50 more per gallon than regular unleaded.

Many automakers selling in the U.S. were considering introducing diesel engines in 2008 and 2009 but most dropped those plans, including fellow Asian manufacturers Honda and Nissan.

Mazda’s 2.2L turbodiesel for the U.S. remains long-delayed.

Of the brands selling diesels here today, most still are European, excepting General Motors’ Chevy Cruze and the light- and heavy-duty diesels offered in Detroit Three pickup trucks.

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