The new facility in Anantapur will add 2 lakh vehicles to Kia India’s annual production capacity from 2030.
Kia India has signed an agreement with the Andhra Pradesh government to build its second manufacturing plant in Anantapur. The project involves a combined investment of USD 2 billion (around Rs 18,750 crore) from Kia and its supplier partners.
The new facility is expected to begin production in early 2030. It will add 2 lakh vehicles to the company’s annual production capacity. This will increase Kia India’s total capacity from 4.3 lakh to 6.3 lakh vehicles per year.
Kia’s New Anantapur Manufacturing Plant
The proposed manufacturing facility will cover 465 acres. It will include vehicle stamping, welding, painting and final assembly operations. The plant will produce vehicles for both Indian customers and export markets.
The project is expected to generate around 12,000 direct and indirect jobs in Andhra Pradesh. Kia’s existing Anantapur facility started operations in 2019. It currently supports 24,237 direct and indirect jobs across 945 acres.
Kia India Portfolio and Production Plans
Kia currently manufactures several models at its existing Anantapur plant. These include the Seltos, Sonet, Syros, Carens, Carens Clavis, Carnival and Sorento.
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Its current portfolio covers petrol, diesel, CNG, hybrid and electric powertrains. The second plant will provide additional capacity for future internal combustion engine (ICE) and electric vehicle (EV) models. However, Kia has not yet confirmed which specific models will be produced at the new facility.
Kia India CEO’s Statement
Gwanggu Lee, Managing Director and CEO of Kia India, said the country remains central to the company’s long-term growth plans. He said the second plant would help Kia respond to customer demand faster. It will also support the introduction of new models with both ICE and electric powertrains.
Kia’s Investment Plans in India
The new project will take Kia’s total investment in India to nearly USD 5 billion. Its two manufacturing complexes and supplier facilities will cover a combined area of 1,410 acres.
The expansion marks a major increase in Kia’s manufacturing capacity in India. Production at the new Anantapur facility is expected to begin in early 2030.
