Kia starts certified used car business to increase transparency

Industry

Published: 25 Oct. 2023, 16:38 Updated: 25 Oct. 2023, 16:48

Kia starts certified used car business to increase transparency

Kia Vice President Kwon Hyuk-ho speaks during a press conference about the carmaker's certified used car business on Thursday. [KIA]

Kia is starting a certified used car business from next month with the ambition to increase transparency in an industry widely known for frequent scams.

Kia, for the first time as a domestic carmaker, is also certifying used EVs.

“Kia wants to be reborn as a manufacturer which takes responsibility for customers buying new cars and used cars,” said Kwon Hyuk-ho, vice president of Kia, on Wednesday.

“By providing mobility services that our new and used cars customers want, Kia will elevate the brand's credibility and loyalty.”

Kia plans to only certify vehicles that have run less than 100,000 kilometers (62,000 miles), in less than five years. The cars should not have been involved in accidents either.

Kia will assess the used car under six categories — body, movement, exterior and interior, chassis, electronics and powertrain.

Disclosing the car's battery status is part of Kia's effort to elevate the credibility of the market, as it plays an essential role in deciding the remaining life span of the vehicle.

EVs take up 10 percent of Korea's auto market but their portion in the used car segment still stands at 0.7 percent, according to the carmaker.

Because there are no protocols in trading used EVs, 64 percent of used EV trades were made between individuals without any type of distributor or certified agency handling the transaction as of 2021, according to data from the transport ministry.

Kia wants to tackle that by establishing EV-dedicated quality checks and certification protocols that will be used to rate the EVs on five levels.

Battery status and the actual driving range of the car, compared to its new version, will factor into the rating process.

Kia set up an online channel where sellers can upload Kia vehicles they want to sell after getting certified by Kia. Potential buyers can browse cars, make purchases and get them delivered 100 percent contact-free.

BY JIN EUN-SOO [jin.eunsoo@joongang.co.kr]