On February 7, Kia Co., Ltd. signed an investment expansion agreement with yancheng people's government and Jiangsu Yueda Group. Kia and Yueda plan to form a new joint venture, the new joint venture plans to increase the capital of 900 million US dollars, through the expansion of investment, the introduction of new models, the development of new energy vehicles, the establishment of export bases and other ways to rapidly increase vehicle sales and capacity utilization. According to the plan, the new company name will be released in April this year.
According to reports, the Yancheng city government will fully support Kia to expand sales in the Chinese market and provide support for the export trade of Kia's Yancheng plant to help Kia's development in China. Since Its entry into China in 2002, it has sold nearly 6 million vehicles, and at the same time, it has strongly driven the development of the local auto parts industry.
It is reported that Kia will focus on promoting the introduction of global strategic models and new energy vehicles. The new models launched in 2022 will be equipped with a large number of safety configurations and new technology configurations to further enhance product performance and market competitiveness, and together with models on sale such as Jawa and Smart Run Ace, Kia will improve its global strategic model lineup. From next year to 2027, starting from the new pure electric vehicle EV6, Kia will launch a new electric model in the Chinese market every year, gradually building a new EV matrix of six electric vehicles.
Currently, Yancheng is Kia's only production base in China; since then, Yancheng will continue to serve as the base for its future business in China. Over the next decade, Kia has set a target of more than 4 million units in China.
Text/Guangzhou Daily, New Flower City Reporter: Zhou Weili
Photo/ Guangzhou Daily, Xinhuacheng Reporter: Zhou Weili
Guangzhou Daily New Flower City Editor: Li Guangman