A CKD assembly plant of Kia Corp. in Kazakhstan (Yonhap)
SEOUL, Oct. 21 (Korea Bizwire) – Kia Corp., South Korea’s second-largest automaker, on Tuesday opened its second complete knock-down (CKD) assembly plant in Kazakhstan as part of efforts to expand its production capacity and strengthen its foothold in Central Asia.
An opening ceremony for the plant in Kostanay, northwestern Kazakhstan, was attended by Kia President Song Ho-sung, Kazakh First Deputy Prime Minister Roman Sklyar, senior government officials and partner company representatives, the company said.
Kazakh President Kassym-Jomart Tokayev also joined the event virtually.
Construction of the new CKD plant began at the end of 2023 with a total investment of US$310 million. It has an annual production capacity of 70,000 units and spans 630,000 square meters.
Kia Corp. headquarters in southern Seoul (Image provided by Kia Corp.)
Kia already operates a separate Sportage CKD production facility in the region with a capacity of 10,000 units annually. Combined with the second plant, the company’s total production capacity in Kazakhstan will reach 80,000 units per year.
Kia has started producing the Sorento sport utility vehicle (SUV) at the new plant and plans to add the Sportage model next year.
Cars assembled at the plant will be exported to nearby markets, including Uzbekistan, Armenia and Azerbaijan, as part of Kia’s strategy to strengthen its position in Central Asia.
Kia sold 25,495 vehicles in Kazakhstan in 2023, posting an average annual growth rate of 62 percent in sales since 2020.
“The Kazakhstan CKD plant is part of Kia’s global vision to create sustainable value through customer-centered innovation and electrification,” Song said.
(Yonhap)
