Kia has officially opened its new production facility in Mexico at a grand opening ceremony attended by over 500 people.
Construction of Kia's new manufacturing plant, located in Pesqueria in the northern Mexican state of Nuevo Leon, began in October 2014. The facility - Kia's sixth overseas production base - represents an investment by Kia and suppliers of $3 billion.
The ceremony, which took place in the plant's new assembly shop, was attended by Mexico's Secretary of Economy, Ildefonso Guajardo Villareal; the Nuevo Leon State Governor, Jaime Rodriguez Calderon; and the Mayor of Pesqueria, Miguel Angel Lozano Munguia. The delegation of around 100 visitors from Korea included Hyundai Motor Group Chairman Mong-Koo Chung and Kia Motors Corporation Vice Chairman and CEO Hyoung-Keun Lee.
Construction of Kia's new manufacturing plant, located in Pesqueria in the northern Mexican state of Nuevo Leon, began in October 2014. The facility - Kia's sixth overseas production base - represents an investment by Kia and suppliers of $3 billion.
The ceremony, which took place in the plant's new assembly shop, was attended by Mexico's Secretary of Economy, Ildefonso Guajardo Villareal; the Nuevo Leon State Governor, Jaime Rodriguez Calderon; and the Mayor of Pesqueria, Miguel Angel Lozano Munguia. The delegation of around 100 visitors from Korea included Hyundai Motor Group Chairman Mong-Koo Chung and Kia Motors Corporation Vice Chairman and CEO Hyoung-Keun Lee.
Kia's new manufacturing plant will have an annual production capacity of 400,000 units, boosting the Korean brand's global manufacturing capacity to 3.56 million vehicles. Production began in May 2016, with the Mexico plant providing the company with a new production base for the C-segment Kia Forte. Beginning of 2017, the plant will produce the all-new fourth generation B-segment Rio, which will have its world premiere on 29 September in Paris at the 2016 Mondial de l'Automobile.
In addition to supplying the local Mexican market, where Kia is targeting a 5% market share by 2020, 80% of the facility's production is destined for numerous other countries in the region, including the USA and other Latin American markets – where demand for Kia cars is expected to increase. The facility is currently operating on one shift, producing around 100,000 cars per year, and is able to manufacture one car every 53 seconds (68 units per hour). A second and third shift will be added in 2017 to bring annual plant capacity to 300,000 units, and Kia expects the plant to be operating at full capacity of 400,000 units utilizing three shifts by the end of 2018.
