Kia India on Thursday announced an investment of $2 billion to set up a second manufacturing facility in Andhra Pradesh. The announcement comes after the signing of a Memorandum of Understanding (MoU) with the Government of Andhra Pradesh, marking a key step in Kia India’s investment journey.
The facility will add 2 lakh units of annual manufacturing capacity, taking Kia India’s combined capacity in both plants to over 6 lakh units.
The investment will be made by Kia and its supplier partners.
The proposed facility is likely to generate approximately 12,000 more direct and indirect jobs. It will be spread across a combined 465 acres for Kia and its suppliers.
The automaker continues to cement its presence in India with a cumulative investment of up to $5 billion across its two plants.
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“India is central to Kia’s long-term growth ambitions, and the trust our customers have placed in us since we began operations in Anantapur has been instrumental in our journey. Our second manufacturing plant marks a significant new chapter, strengthening our ability to respond to customer demand with greater speed and flexibility, while supporting the introduction of new models across ICE and EV powertrains.
"As we enter our next phase of growth, we remain committed to contributing to India’s automotive ecosystem and building on the strong foundation we have created here. This will further expand our Made-in-India footprint, strengthening our ability to serve both domestic and overseas markets," Gwanggu Lee, Managing Director and CEO, Kia India, said in a statement.