The proposed facility will add 2 lakh units of annual production capacity, create around 12,000 direct and indirect jobs and take Kia India’s combined capacity beyond 6 lakh units.
Kia India has announced a combined investment of USD 2 billion with its supplier partners to establish its second manufacturing facility in Andhra Pradesh. The company has signed a Memorandum of Understanding (MoU) with the state government for the proposed plant, which is expected to strengthen its production capabilities and support its long-term expansion plans in the country.
Spread across a combined 465 acres for Kia and its supplier partners, the new facility will have an annual installed manufacturing capacity of 2 lakh units. It is also expected to generate approximately 12,000 direct and indirect employment opportunities.
The expansion will take Kia India’s combined annual manufacturing capacity across its two plants to more than 6 lakh units. With the proposed investment, the cumulative investment by Kia and its supplier partners across both facilities will reach USD 5 billion.
Second Plant to Begin Production in Early 2030
The proposed manufacturing facility will be located in Anantapur, Andhra Pradesh, where Kia already operates its existing production plant. According to the company’s facility overview, the second plant is scheduled to commence production in early 2030.
The existing Anantapur facility has a production capacity of 4.3 lakh units annually and is spread across 945 acres. Its product portfolio includes the Seltos, Sonet, Syros, Carens, Carens Clavis, Carnival and Sorento, with different models offered across ICE, EV, CNG and hybrid powertrains.
The new plant will undertake stamping, welding, painting and assembly operations. Kia has stated that it will support the introduction of new models across internal combustion engine (ICE) and electric vehicle (EV) powertrains, although specific products have not yet been announced.
Kia India Targets Greater Manufacturing Flexibility
The second facility is expected to provide Kia with additional manufacturing capacity and greater flexibility to respond to customer demand. The company also intends to strengthen its Made-in-India footprint and serve both domestic and overseas markets through the expanded production base.
Commenting on the investment, Gwanggu Lee, Managing Director and CEO of Kia India, said the country remains central to the company’s long-term growth ambitions. He noted that the new plant would help Kia respond to demand more quickly while supporting the introduction of additional models across ICE and EV powertrains.
Lee also highlighted the role of customers’ trust since Kia began operations in Anantapur, describing the second manufacturing facility as an important new chapter in the company’s India journey.
Investment to Strengthen Andhra Pradesh’s Automotive Ecosystem
The proposed investment involves both Kia and its supplier partners, with the combined 465-acre development expected to create around 12,000 direct and indirect jobs. The project is positioned as a contribution to manufacturing development, employment generation and the wider automotive ecosystem in Andhra Pradesh.
With the second plant scheduled to begin operations in early 2030, Kia India is preparing to expand its manufacturing footprint and increase its ability to introduce new vehicles for Indian and international markets.
