Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Hyundai slashes prices to attack ‘unsafe’ airbags

Hyundai slashes prices to attack ‘unsafe’ airbags

Hyundai has come out against the use of second-hand airbags … and has put its money where its mouth is on the price of new spares.

From 1 July Hyundai Automotive New Zealand is slashing the cost of replacement airbags, typically to less than half, to help stamp out what it terms an unsafe practice.

Fitting bags from wrecked cars is becoming more common because new spares can be too expensive and current laws allow the practice.

But Hyundai, deeply concerned about the safety of used airbags, is selling all SRS components – airbags and control units – at cost price plus a nominal handling fee for distribution within the industry.

For most models the cost will be less than half previously. For example, the recommended retail for the driver’s front airbag on Hyundai’s popular Getz small car drops from $1100 to $510.

Hyundai says on even its most expensive models, the complete SRS package will cost less than $3,000.

The comparison cost on a typical competitor, Toyota Corolla, is approximately $5,200.

“The price for these components on some common models can be up to $8,000, commented the General Manager of HANZ Philip Eustace.

“As a rough guide, the larger the car the higher the airbag price.

“This is why we are increasingly hearing about people fitting second-hand airbags,” Mr Eustace explained.

“The thinking is that airbags which have not been deployed are OK to take out of a wrecked car and fit into another vehicle.

“But there’s no effective way to check if the bags really are still in perfect working order … except to set them off of course, and then they’re of no use.”

Mr Eustace says the problem threatens to become endemic in the industry.

“It’s been attractive to re-use airbags because the cost of replacement parts was so high.

“You might have a relatively minor collision with replacement panel parts and labour costing say a couple of thousand dollars. But add on eight thousand for new airbags because the originals have deployed, and often the insurance companies simply write the car off.

“That’s where the temptation comes in to take a chance and re-use old airbags.

“At Hyundai we believe it is an unsafe practice which must be stamped out,” stated Mr Eustace.

“We hope this will set a benchmark for the industry, for the safety of every road user.”

Last year Hyundai set a precedent when it made dual front airbags and ABS braking with EBD standard in all of its vehicles.

As well as these safety features, all Hyundai passenger vehicles are sold in New Zealand with Roadside Assist throughout the three-year warranty period, plus a Convenience Pack with full electrics, CD player, air conditioning, central locking with keyless entry, and anti-theft alarm with engine immobiliser.
Hyundai is noted as a mass-market leader in safety initiatives, focused on reliability and quality as well as value. The Hyundai group is now the seventh largest car manufacturer in the world and aims for the top five by the end of the decade.

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Sky City : Auckland Convention Centre Cost Jumps By A Fifth

SkyCity Entertainment Group, the casino and hotel operator, is in talks with the government on how to fund the increased cost of as much as $130 million to build an international convention centre in downtown Auckland, with further gambling concessions ruled out. The Auckland-based company has increased its estimate to build the centre to between $470 million and $530 million as the construction boom across the country drives up building costs and design changes add to the bill.
More>>

ALSO:

RMTU: Mediation Between Lyttelton Port And Union Fails

The Rail and Maritime Union (RMTU) has opted to continue its overtime ban indefinitely after mediation with the Lyttelton Port of Christchurch (LPC) failed to progress collective bargaining. More>>

Earlier:

Science Policy: Callaghan, NSC Funding Knocked In Submissions

Callaghan Innovation, which was last year allocated a budget of $566 million over four years to dish out research and development grants, and the National Science Challenges attracted criticism in submissions on the government’s draft national statement of science investment, with science funding largely seen as too fragmented. More>>

ALSO:

Scoop Business: Spark, Voda And Telstra To Lay New Trans-Tasman Cable

Spark New Zealand and Vodafone, New Zealand’s two dominant telecommunications providers, in partnership with Australian provider Telstra, will spend US$70 million building a trans-Tasman submarine cable to bolster broadband traffic between the neighbouring countries and the rest of the world. More>>

ALSO:

More:

Statistics: Current Account Deficit Widens

New Zealand's annual current account deficit was $6.1 billion (2.6 percent of GDP) for the year ended September 2014. This compares with a deficit of $5.8 billion (2.5 percent of GDP) for the year ended June 2014. More>>

ALSO:

Still In The Red: NZ Govt Shunts Out Surplus To 2016

The New Zealand government has pushed out its targeted return to surplus for a year as falling dairy prices and a low inflation environment has kept a lid on its rising tax take, but is still dangling a possible tax cut in 2017, the next election year and promising to try and achieve the surplus pledge on which it campaigned for election in September. More>>

ALSO:

Job Insecurity: Time For Jobs That Count In The Meat Industry

“Meat Workers face it all”, says Graham Cooke, Meat Workers Union National Secretary. “Seasonal work, dangerous jobs, casual and zero hours contracts, and increasing pressure on workers to join non-union individual agreements. More>>

ALSO:

Get More From Scoop

 
 
Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news