SEOUL, KOREA - Hyundai Wia, the automotive parts unit of the Hyundai Motor Group, plans to set up a new engine plant in Seosan in South Chungcheong Province. The new engine plant will be engaged in the production of Kappa engines for small and light sedans.
As its automobile output increases, the Hyundai Motor Group has assigned the task of producing transmissions and engines to Hyundai Wia which has been engaged in production of machine tools. With the establishment of the new engine factory, Hyundai Wia will be able to foster the business of engine production as its new growth engine.
For the Hyundai Motor Group, the new engine factory would contribute to enhancing the efficiency in in-house procurement of engines, as well as establishing a new competition paradigm among the group’s affiliates, thereby leading to an improvement in both quality and technology competitiveness.
The new engine factory will produce Kappa engines with a displacement of 1.0-1.4 liters for small and light sedans. With an annual production volume of 100,000 units, the engine plant will start full-scale operation from late 2015.