Hyundai and Kia will repair millions of vehicles under a deal to fix anti-theft technology

Hyundai and Kia have reached a nationwide settlement requiring them to offer free repairs to millions of vehicles vulnerable to theft, Minnesota Attorney General Keith Ellison announced Tuesday. The settlement, which could cost the automakers over $500 million, comes after an investigation led by 35 states into vehicles lacking proper anti-theft technology.

The companies will provide free repairs to approximately 9 million eligible vehicles sold in the United States between 2011 and 2022. The settlement also requires Hyundai and Kia to install engine immobilizers in all future vehicles and pay up to $4.5 million in restitution to owners whose vehicles were damaged during theft attempts.

“This crisis that we’re talking about today started in a boardroom, traveled through the internet and ended up in tragic results when somebody stole those cars,” Ellison said during a news conference.

The settlement addresses a nationwide surge in thefts that began in 2021 when videos demonstrating how to steal these vehicles using only a screwdriver and a USB cable went viral on TikTok and other social media platforms. Minneapolis alone reported an 836% increase in Hyundai and Kia thefts from 2021 to 2022.

Ellison emphasized that the automakers had installed engine immobilizers on vehicles sold in Mexico and Canada but not widely in the U.S., leading to a wave of car thefts that resulted in property damage, other crimes, crashes, injuries and even deaths. The attorney general was joined at the news conference by Twin Cities officials, a woman whose mother was killed when a stolen Kia crashed into her parents’ vehicle, and a man whose car was stolen nine times — including once the night before the announcement and seven times after a previous software fix.

The repair will involve installing a zinc sleeve to prevent thieves from breaking into the ignition cylinder to start the car. Eligible customers will have one year from the notification date to get the repair at an authorized dealership. These repairs are expected to be available from early 2026 through early 2027.

Major states participating in the settlement include California, New Jersey, New York and Pennsylvania. The agreement represents one of the most significant consumer protection measures in the automotive industry in recent years, addressing a widespread problem that has affected urban areas particularly hard.

In separate statements, both automakers expressed their commitment to addressing the theft issue. Kia stated it is “eager to continue working with law enforcement officers and officials at federal, state, and local levels to combat criminal car theft, and the role social media has played in encouraging it.” The company emphasized its commitment to vehicle security.

Hyundai similarly pledged to “continue to take meaningful action to support our customers and ensure peace of mind.”

This settlement is part of broader efforts by both companies to address the theft crisis. Previously, the automakers had offered some software updates and steering wheel locks to affected customers, but these measures proved insufficient for many vehicle owners, as evidenced by the man at the press conference whose car continued to be stolen even after previous fixes.

The case highlights the intersection of corporate responsibility, social media influence, and public safety. It also underscores how decisions made by manufacturers about which security features to include in different markets can have significant and sometimes unforeseen consequences for consumers and communities.