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Kia Motors To Invest $54 Million In Andhra Pradesh Plant

The fresh investment will be made to scale up the manufacturing of SUVs in the state as the company is gearing up to launch a new subcompact SUV in India- the Kia Sonet.

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Kia Motors will invest close to Rs. 408 crore at its plant in Andhra Pradesh

Highlights

  • Kia Motors India will invest to scale up the production of SUVs.
  • It will also generate more employment in the state.
  • Kia will launch the new Sonet subcompact SUV this year.

Kia Motors India will be investing an amount of $54 million (approximately ₹ 408 crore) in its Anantapur manufacturing facility in Andhra Pradesh. The company's CEO, Kookhyun Shim, confirmed the news while participating in a discussion organised by the Andhra Pradesh government. Kia confirmed that that the investment will be made to scale up the manufacturing of SUVs at the plant, with the next launch being the Kia Sonet subcompact SUV. Kia Motors will also look to generate more employment in the state. Currently, 85 per cent of the overall employees at its Anantapur plant are from the local populace.

Also Read: Exclusive: Kia Considering Soul Petrol And EV Model For India

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The Kia Sonet concept is expected to be priced around the ₹ 7 lakh mark

The Kia Seltos compact SUV was the model with which the Korean carmaker made its India debut, followed by the Carnival MPV which was launched earlier this year at Auto Expo 2020. So far the brand has maintained its focus on SUVs and MPVs and is now gearing up to launch the Sonet subcompact SUV in India. We exclusively reported that the Kia Sonet will go on sale in India around the festive season this year, in the August - October period. The Kia Sonet has been spotted testing in India as well.

Also Read: Exclusive: Kia Sonet To Be Launched In Time For The Festive Season

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The Kia Sonet subcompact SUV was spotted testing in April.

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The Kia Sonet will go up against some well-established subcompact SUVs in the market like the Maruti Suzuki Vitara Brezza, Hyundai Venue, Ford Ecosport, Mahindra XUV300 and Tata Nexon and will be offered with a bunch of segment-first features. So expect the cabin to be loaded with features like ventilated seats, sun blinds, touchscreen infotainment system with Apple CarPlay and Android Auto and Kia's UVO connected car tech, auto climate control, electric sunroof, wireless charger and push-button start-stop among others. It is likely to share engine options with the Hyundai Venue, so expect the 1.2-litre petrol, a 1.5-litre diesel and a 1.0-litre GDi turbo petrol engine on offer. Transmission options will include a 6-speed manual and a DCT automatic too, which will send power to the front wheels.

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