Kia announced it would invest 100 million Euros to build a new engine production facility in Slovakia
“I am very glad we managed to obtain another investment worth more than EUR 100 million for Kia Motors Slovakia to build an engine production facility, thus increasing our overall capacity to 450,000 engines per year. We confirm our intention of long-term development of our activities in Slovakia. Our goal remains an effort to positively influence employment in the region of Zilina as well as overall economic growth of Slovakia,” President and CEO of the Zilina car company In-Kyu Bae said.
Kia Motors to invest 100 million euros to build new engine plant in Slovakia.
Kia announced it would invest 100 million Euros to build a new engine production facility in Slovakia (Europe). The company expects to launch the operations at its brand-new engine production plant in 2011 and reach full annual production capacity of 150.000 units by the end of 2012.
Kia did not disclose any information regarding the engines it plans to produce at the plant, but it is believed that the company will build highly advanced four-cylinder powerplants for its next-generation vehicles.
The new production facility will also provide engines for a plant run by Kia’s sister firm Hyundai in the neighbouring Czech Republic, which is located only 40 miles from the Kia’s Slovak factory. The investment is said to add 270 new jobs to the 2.700 people already working at existing Kia plant.
According to President and CEO of Kia Motors Slovakia, this 100 million euros investment will increase Kia’s overall annual production capacity to 450.000 engines, which confirms the brand’s strategy to develop Kia’s activities in Slovakia in the long term.
Kia has been operating a 1 billion euro automobile manufacturing plant in Slovakia since December 2006. The plant has an annual production capacity of 300.000 vehicles and currently builds three different vehicles; two for Kia and one for Hyundai.
The automaker uses same production lines to build the all-new Sportage and Hyundai ix35 (known as Tucson in the USA) crossovers, both destined for European market. It also manufactures three variants of popular cee’d: the 5-door cee’d, cee’d wagon and 3-door cee’d).