Kia to Start Selling its Cars in México

by Murry Page
10 Mar 15
mazmessenger.com

South Korea’s Kia Motors announced that it will start selling its vehicles in México beginning in July. It plans to sell its compact car, Forte, its utility vehicle, Sorento and its SUV, Sportage, a spokesman of the company told reporters.

 

Additionally, in the first half of next year Kia Motors will begin the production of its cars in México from its new $1 billion manufacturing facility, which will alleviate a shortage of cars for the U.S.market that has hampered the growth of Kia and its sister brand Hyundai, which owns 34 percent of Kia. The companies share the development of engines, transmissions, car platforms and automotive technology.

Kia has grown rapidly in the U.S. in recent years. Its sales this year are on track to reach about 600,000 vehicles, double the volume it sold in 2009.

(from Milenio)

Peña Nieto hails Kia’s investment

thenews.com.mx

Pres. Enrique Peña Nieto announced Kia will open a new car plant in Nuevo León.

PHOTO COURTESY OF PRESIDENT’S OFFICE

THE NEWS

Kia Motors will invest more than $1 billion to build a Kia Motors Assembly Plant in Pesquería, Nuevo León. “More investors will come to Mexico because we are becoming one of the most safe and reliable economies in the world,” said President Enrique Peña Nieto. “The Kia Motors investment will trigger other supplier investment estimated to add another $1.5 billion. Once the Kia Motors Plant begins operations, Mexico will have the capacity to manufacture up to 300,000 vehicles per year and create thousands of good paying jobs.”

From January to July, automobile production in Mexico grew 7.5 percent compared to the same period in 2013, and auto exports grew 2.11 percent in the same period, suggesting the Mexican automotive industry reached historic records in 2014. “In the first half of 2014, Mexico established itself as the largest automobile producer in Latin America and seventh in the world. In the first six months of 2014 federal spending increased by over 19 percent in comparison to the same period in 2013.

This national economic growth is another incentive to invest in Mexico.” The tourism sector grew 137 percent, communications and transport 75.4 percent and science and technology more than 61 percent. Real physical investment grew 31.7 percent with a total of over 396 billion pesos ($30 billion). In July, Mexico’s total exports grew 4.5 percent, said the National Institute of Statistics and Geography. “Six of the transformative reforms are of an economic nature. They will raise productivity and growth rate in Mexico,” Peña Nieto said.

Peña Nieto hails Kia’s investment

Thursday, 28 August 2014 01:10

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

thenews.com.mx

Paña Nieto hails Kia’s investment

THE NEWS

Kia Motors will invest more than $1 billion to build a Kia Motors Assembly Plant in Pesquería, Nuevo León.

“More investors will come to Mexico because we are becoming one of the most safe and reliable economies in the world,” said President Enrique Peña Nieto.

“The Kia Motors investment will trigger other supplier investment estimated to add another $1.5 billion. Once the Kia Motors Plant begins operations, Mexico will have the capacity to manufacture up to 300,000 vehicles per year and create thousands of good paying jobs.”

From January to July, automobile production in Mexico grew 7.5 percent compared to the same period in 2013, and auto exports grew 2.11 percent in the same period, suggesting the Mexican automotive industry reached historic records in 2014.

“In the first half of 2014, Mexico established itself as the largest automobile producer in Latin America and seventh in the world. In the first six months of 2014 federal spending increased by over 19 percent in comparison to the same period in 2013. This national economic growth is another incentive to invest in Mexico.”

The tourism sector grew 137 percent, communications and transport 75.4 percent and science and technology more than 61 percent. Real physical investment grew 31.7 percent with a total of over 396 billion pesos ($30 billion). In July, Mexico’s total exports grew 4.5 percent, said the National Institute of Statistics and Geography.

“Six of the transformative reforms are of an economic nature. They will raise productivity and growth rate in Mexico,” Peña Nieto said.

Kia to unveil plans for assembly plant in Mexico, sources say

Photo credit: BLOOMBERG

Ryan Beene   
Automotive News 

autonews.com
August 26, 2014 - 6:14 pm ET

Kia Motors Corp. will announce plans Wednesday to construct an assembly plant in Mexico, its first in the country, according to two sources with knowledge of the matter.

A senior automotive industry source in Mexico City toldAutomotive News that Kia will unveil plans to build an assembly plant in the Monterrey area of northern Mexico at a news conference hosted by Mexico President Enrique Peña Nieto on Wednesday morning.

The announcement will be made at the offices of Mexico's economy ministry, the person said.

Another source briefed on the plans said the plant is scheduled to begin operating in 2016.

Bloomberg News reported plans for the plant and Wednesday’s expected announcement earlier Tuesday.

A spokesman for Kia Motors America declined to comment, deferring to a Kia spokesman in South Korea, who was unavailable for immediate comment.

Previous news reports have said Kia will invest at least $1.5 billion in the plant, which will have annual production capacity for 300,000 vehicles.

A production base in Mexico would likely bolster Kia’s ability to supply vehicles to the U.S. market, where its sales and those of corporate sibling Hyundai Motor America have been curbed by limited capacity worldwide over the past two years.

Kia and Hyundai assembly plants in Georgia and Alabama are also operating at or above their official capacity.

It’s unclear what vehicles Kia plans to produce in Mexico. The company assembles the midsize Optima sedan and midsize Sorento crossover at a factory in West Point, Ga.

Automakers are increasingly using Mexico as a hub for small-car output. The country’s lower labor rates help pad the typically thin profit margins of small cars sold in the U.S.

Mazda Motor Corp., Nissan Motor Corp. and Honda Motor Co., for example, have either begun production or announced plans to build small cars in the country.

If Kia follows suit, the Forte compact, Soul subcompact or Rio subcompact could be among the possibilities to be built south of the border.

The plant also signals a more aggressive strategy at the Hyundai Motor Group, which includes Hyundai, Kia, parts supplier Hyundai Mobis and several other affiliated companies.

For the last several years, the group has had an unofficial moratorium on new car factories. Hyundai Motor Group boss Chung Mong-koo has put a priority on improving quality and brand reputation over sales growth following Toyota’s recall crisis, which made the Korean group wary of growing too fast.

Kia signaled the cautious approach was easing in July when a company spokesman confirmed that it was evaluating Mexico as a potential site for its next overseas assembly site “to secure future growth for the brand…and to better cope with the ongoing supply shortage in the Americas region.”

In addition to lower labor costs, Mexico’s numerous free-trade agreements make it a potent base for exports.

Newly announced or just-opened plants will add an estimated 1.5 million units of vehicle production capacity in Mexico by 2019, Automotive News reported last month.

KIA, latest automaker to set up shop in Mexico, announced 1.5 Billion USD investment

theyucatantimes.com

Guided by their Brand Slogan “The Power to Surprise”, Kia Motors is dedicated to providing customers with products and services that exceed expectations, and during the year 2013 they once again toppled their previous year’s best-ever global sales record by delivering 2.75 million vehicles.

Kia has also experienced dramatic qualitative improvement to the brand, moving ahead four places in 2013 to 83rd place on Interbrand’s list of global top 100 brands. They also debuted in 37th place on Interbrand’s list of the 50 Best Global Green Brands 2013.

In 2014, they continue to surprise their customers with amazing new vehicles such as next generation versions of the Sorento and Carnival (Sedona) and will keep their mission to shape the future of sustainability by introducing the Soul EV and upgraded version
of the Optima Hybrid.

Kia Soul-EV

In particular, the Soul EV will be central to their efforts to lessen Kia’s environmental impact even further in future.

This is an exciting product launch as they work towards ever more sustainable forms of mobility.

Kia could wrap up a deal to build a $1.5 billion production facility in Mexico’s northern state of Nuevo Leon by early next month, a government official has revealed.

Kia Sportage SUV

It was only a few weeks ago that Kia revealed it was considering a new plant in Mexico, but things look to be moving quickly as the Korean automaker could ink a contract to build a factory just outside the city Monterrey sometime during the first half of August. According to Rolando Zubiran, State Secretary of Economic Development in the Northern State of Nuevo Leon, the deal would be worth in excess of $1.5 billion.

“It’s more than $1.5 billion,” Zubiran told Reuters.

Zubiran didn’t elaborate on how much of that investment would come from Kia, but it would presumably be a sizable chunk.

Inside sources have indicated that the plant will eventually have the capacity to produce 300,000 vehicles per year. So far the models destined for the Mexico plant have only been described as “two small cars.”

Kia is just the latest automaker to invest in Mexico, following similar moves from Honda and BMW.

Source: http://www.leftlanenews.com/

KIA in Talks to Open $1.5 Billion Plant in México

by Murry Page

24 Jul 14  

mazmessenger.com

 

On Tuesday Rolando Zubiran, Secretary of Economic Development for the state of Nuevo Leon, said Kia Motors Corp. is in talks with México to open a new auto assembly plant worth at least $1.5 billion.

He said negotiations on the plant were under way and involves Nuevo Leon, the Mexican federal government and Kia, an affiliate of Hyundai Motor Corp.

The Economic Development Secretary said, “It’s more than $1.5 billion,” referring to the planned investment. He added that Nuevo Leon hoped the deal would be concluded during the first two weeks of August.

The plant, which sources say will have an annual capacity of some 300,000 cars, would be built on the northeastern fringe of the city of Monterrey, according to several people familiar with the matter who spoke on condition of anonymity.

Sources in South Korea previously told Reuters that the plant will initially begin producing two small cars. The plant could help meet rising demand in the United States where Kia operates just one plant.

(from Automotive News)

Kia Motors to Build its First Plant in México

by Murry Page

3 Jun 14 

mazmessenger.com

 

Sources told Reuters that the South Korean automaker Kia Motors plans to soon start construction of a plant in México. The plant, which will be built in Monterrey, is said to have a capacity of 300,000 vehicles. It will initially produce two small cars, one of the sources told Reuters. It will be first plant in México for the automaker.

The new plant could help Kia meet demand in the United States, where the only plant in the country is operating at maximum capacity.

Asked about a new factory in México, a company spokesman told Reuters that Kia is considering several options foraddressing capacity constraints in the United States, but has not yet made ??a decision.

Approximately two years, Chung Mong-koo, the Chairman of Hyundai Motor and its affiliate Kia unofficially stopped expanding its capacity. It was said that the South Korean group was worried that it could face the kind of quality problems that was affecting its Japanese rival Toyota Motor Corp when it grew too aggressively in the 2000s.

(from El Economista)