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Kia Motors Plant Construction In Andhra Pradesh

Updated: Dec 20, 2018



One of the significant growth in Amaravati is the construction of Kia motors plant in Andhra Pradesh. Kia Motors, a South Korean automotive company has in 2017 announced its plans to invest about $2billion plant which is to be located in the region of Andhra Pradesh. The first phase of the plant will be the investment of $1.1billion which will commence with the production of SP and SUV.


Officially, Kia Motors would begin its operations by 2019. The Andhra Pradesh Kia plant would become one of Kia's biggest production plant in the world. Currently, Kia produces over 3 million cars globally, and the factory in Andhra Pradesh would be the 15th manufacturing facility. This manufacturing company plant would include an engine shop, body and paint shops, vehicle assembly unit, and powertrain shop and the completion of all these units is close to its end. This significant development stride would bring about considerable development to the district of Andhra Pradesh and India at large. Most of these benefits are explained below.


1. Employment

Do you think that this form of development would generate employment? Yes, it would. As was declared by the president and CEO of Kia Motors, Kia Motors would be recruiting about 3,000 employees to operate the plant. The company is in discussion with Andhra Pradesh Government to start the training program of the locals and the employees in other for them to develop the needed manufacturing skills to run the plant and this would be done jointly by both the government and the company. Estimated, about 4,115 laborers working daily as shifts in constructing the automobile company will kick off in January 2019.


2. Infrastructure and development

This project would bring about support in the region of Anantapur in the district of Andhra Pradesh. Imagine the capacity of the project which would be both large and gigantic? The plan is to cover over 23 million square feet (213.7 hectares). This project would also bring about the generation of tax in the region and the money gotten from the tax if appropriately utilized would also bring about development.


3. Competition

With the initiation of this plant in Andhra Pradesh, the automotive sector would have a whole game. Kia motors would be producing over 300,000 cars annually thereby increasing the number of vehicles in the country. Do you feel that competition would help the market? Oh yes, for where there is competition, the prices of commodities would be reduced. This means that the costs of automobiles would be reduced.

The Andhra Pradesh State skill development corporation (APSSDC) has since early this year begin the training of over 2,000 locals in the district of Andhra Pradesh to obtain the requirements of the company. Would there be a need for workforce? A workforce of 3,000 employees to assemble over 50 cars in an hour is needed. All over the world like in countries such as the US, China, Mexico and Korea, Kia industries are found, and Kia automobiles are known for their quality and style. Kia cars and products are marketed in over 180 countries. Kia in Andhra Pradesh has already showcased its top 16 cars as models in their Kia expo in Delhi.

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