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Tamil Nadu Government Offers 390 Acre Land For Kia Motors' Upcoming Plant

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To further its role as an industrial hub for auto manufacturers, the Tamil Nadu government has reportedly offered Hyundai's subsidiary brand, Kia Motors, a major property to set up its upcoming plant in the state. The land is claimed to be somewhere around 390 acres, said Industries Minister M C Sampath. This offer from the Tamil Nadu government comes right after the reports which claimed that the company might set up its upcoming plant in Karnataka.

Apparently, the South Korean carmaker has been scouting Tamil Nadu and Andhra Pradesh to find a suitable land to set up its new manufacturing facility. The car manufacturer is mulling over setting up a factory which will have an annual capacity of 3,00,000 units.

Further adding to his statement, Sampath said that noting Kia Motors has been scouting for locations for setting up a factory in India the government has offered about 390 acres of land and was hopeful that the automobile manufacturer would set up the manufacturing plant in the state. He told the State Assembly that "After visiting Tamil Nadu, they asked us about 400 acres of land, and we have offered about 390 acres. I am hopeful that they will set up the factory in Tamil Nadu." In fact, Hyundai Motors has a facility at Sriperumbudur, which is about 40 km away from the location of the land offered to Kia Motors.


Earlier this year Kia Motors announced that it is all set to enter the Indian market soon. According to the company, a play in India is critical for Kia as it feels that the country gains volumes and is racing towards becoming the third-biggest car market globally by 2020. Kia Motors retails several models including - Sportage, Optima, Cadenza, and Soul, both globally and in home market South Korea. It currently has manufacturing facilities in Seoul and Mexico, with the next one coming up in India.

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