Underlining the fact that China is now driving the global automotive market, Korean brand Kia has started work on its third Chinese plant and confirmed it is developing new vehicles specifically for that market.
Located in Yancheng, Jiangsu Provence, the new plant is another joint venture between Kia and China’s Dongfeng group. The new plant is just five kilometers away from Kia’s second Chinese plant – allowing the two to share logistics.
Currently Kia annually produces 430,000 vehicle at its existing plants in China and, when completed, the new plant will add a further 300,000 vehicles – lifting annual capacity to 730,000 vehicles (almost three-quarters of Australia’s annual total new car market).
Kia says cars will commence rolling from the new assembly line in the second half of 2014.
In addition, Kia confirmed it is currently researching local Chinese needs and preferences as it prepares to develop vehicles specifically for the world’s largest new car market. It is anticipated production of these vehicles will be slated for the new plant.
