Shulou(Shulou.com)11/24 Report--

CTOnews.com, May 19 (Xinhua) Hyundai and Kia have agreed to reach a $200m settlement stemming from a class action involving a series of car thefts triggered by social media TikTok.

According to the National Highway Traffic Safety Administration (National Highway Traffic Safety Administration), the so-called "Kia Challenge" on the social media TikTok platform has led to hundreds of car thefts in the United States, including at least 14 crashes and eight deaths, according to ▲.

Thieves known as "Kia Boyz" post instructional videos on YouTube and TikTok showing how to use simple tools such as USB cables to bypass the vehicle's security system.

The success rate of theft by Kia Boys is very high because many Hyundai and Kia cars produced between 2015 and 2019 do not have electronic anti-theft devices, preventing potential thieves from directly breaking into and bypassing the ignition system, Reuters reported. This function is standard for almost all vehicles produced by other manufacturers at the same time.

The settlement only applies to about 9 million cars that lack push-button ignition and anti-theft devices. In February, the two companies also provided free software updates that extended the length of the alarm sound from 30 seconds to one minute and required the key to be inserted into the ignition switch to start the vehicle. According to reports, the settlement also includes compensation for the loss of out-of-pocket expenses of up to $145 million to consumers with stolen cars.

Jason Erb, chief legal officer of Hyundai Motor North America, said in a statement: "We are pleased to have the opportunity to provide additional support to our car owners, who are affected by the increasing and ongoing criminal activities against our cars. Customer safety remains a top priority."

There are no U.S.-wide statistics on the number of Hyundai and Kia car thefts, but statistics from various cities give a rough idea of the spread of the trend. In Milwaukee, for example, the police reported that 469 Kia and 426 Hyundai were stolen in 2020. That number soared to 3557 Kia cars and 3406 Hyundai cars the following year, according to NPR.

Hyundai and Kia have made uneven efforts to solve this problem. Last year, carmakers said they would charge car owners at least $170 for safety kits to solve the problem. But add installation and labor, and those costs could soar to $500. In the end, the company increased the amount of reimbursement for individual customers to $300.

Hyundai and Kia also provide anti-theft locks for some car owners. NHTSA said that since November 2022, these companies have issued 26000 wheel locks.

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