KIA Motors Almost Confirmed for AP

Hyundai sibling KIA Motors is looking to make its entry into India by setting up its maiden factory. It is emerging that the company has almost zeroed in on Andhra Pradesh for setting the shop. We are told that they will take a final call on the location this week. Anantapur or Nellore may be the options as of now.

[m9ad]

A key meeting between the company and the government is taking place today. The company is reportedly mulling over setting up a factory with annual capacity of 3,00,000 units with an investment of around 5000 Crore. Hyundai has a facility at Sriperumbudur, about 40 km from here. KIA Motors sells several models, Sportage, Optima, Cadenza, Soul, globally and has manufacturing facilities in Korea and Mexico.

Kia Motors engaged in talks with several other states like Gujarat, Madhya Pradesh and the neighbouring Tamil Nadu as well. But it is said that Andhra Pradesh government has offered them better incentives to consider the state. If KIA sets up the factory here, it will be a shot in the arm for the government which is planning to make the state as an automobile hub.