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Kia Motors Increases Investment In India To $2 Billion

Kia held a framework installation ceremony of its first plant in India and announced additional investments in India. Kia has already invested $1.1 billion in its plant here, however, the company has big plans for the future and primary investments in the plant have already been made. the company plans to increase investment in India to $2 billion by 2021

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Kia will start manufacturing its first car in India from 2019

Highlights

  • Kia Motors will start mass production in India by the second half of 2019
  • The construction work of the plant is 1 month ahead of schedule
  • Kia will start its innings in India with a compact sedan

When we talk about the automobile industry in India, there are re only two places you look at - Tamil Nadu and Maharashtra, but Andhra Pradesh is all set to become a major auto hub as well, with South Korean carmaker, Kia Motors, setting up a big manufacturing plant in Yerramanchi village at Penugonda mandal of Anantapur district. The company today announced the first frame installation for its plant and Andhra Pradesh Chief Minister N Chandrababu Naidu and CEO & President, Kia Motors, Han Woo Park were present at this ceremony.

Kia has already invested $1.1 billion in its plant here, however, the company has big plans for the future. Han Woo Park, CEO & President, Kia Motors Corporation said, "Kia Motors has big plans for India and the company has already made significant investment in its plant in the country. I am happy to announce that the construction of the plant is one month ahead of schedule. We are making additional investments in India and Kia will spend a total of $2 billion in India by 2021. This investment will create more than 10,000 jobs"

Kia Motors India will soon start recruiting the 3000 employees needed to operate the plant. The company is currently in discussion with the Andhra Pradesh Government to start a joint training programme at the state Governement level to develop the necessary manufacturing skills among local residents. 

kia motors india

Kia Motors President CEO Han Woo Park said that 10,000 jobs will be created by the company

The work of the manufacturing facility is already underway and carried out at a war footing. The engine shop, body shop, paint shop, seat shop, assembly unit, utility centre and power train shop are all getting prepared and will be completed shortly.

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Also Read: Kia Motors Makes India Debut At The Auto Expo 2018

It was in April 2017, that Kia Motors entered into an MoU with the Government of Andhra Pradesh to build a state-of-the-art facility which will see the first car roll out of the assembly line in the second half of 2019. The APIIC has allotted 535.50 acres for the main plant, 36 acres for the township and 11.20 acres for the training centre.
 
Andhra Pradesh Chief Minister N Chandrababu Naidu said, "Kia Motors will begin operations in India with an annual plant production capacity of 3 lakh units and it will be expanded to 1 lakh more in the coming years. We want this plant to be Kia's biggest production location globally". Kia Motors currently produces 3 million cars worldwide, and the Indian factory will be its 15th manufacturing facility globally.
 
 

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