SEOUL, KOREA - Kia Motors plans to set up a large-scale plant with an annual capacity of 300,000 units in Mexico.On August 27, Kia Motors held a signing ceremony with the Nuevo Leon state government of Mexico, attended by many dignitaries, including the Mexican President Enrique Pena Nieto.
Under the terms of the agreement, Kia Motors will invest $1 billion by 2016 to establish an assembly plant capable of producing 300,000 cars a yearin the northeastern state, where it will produce a variety of small- and mid-sized cars, including the Pride, K3, and Soul.
The Mexican factory will become Kia Motors’ sixth overseas factory and first one in Latin America.
Starting from 2016 when the Mexican plant will be completed, Kia Motors’ production capacity in North Americawill be expanded up to 660,000 units, including that of the Georgia (U.S.) operation.
Kia Motors’ overseas production capacity will be expanded up to 1.68 million cars by then, similar to its domestic production capacity of 1.69 million units.