Kia has officially begun construction of a dedicated electric vehicle (EV) manufacturing facility in Hwaseong, South Korea, marking a major step in Hyundai Motor Group’s KRW 24 trillion ($18 billion) push to dominate the global EV market. The plant, set to open in late 2025, will produce 150,000 purpose-built vehicles (PBVs) annually, with capacity adjustable to market demand. Hyundai Motor Group CEO Ho Sung Song declared the investment would position South Korea among the world’s top three EV producers by 2030.
Eco-Friendly Factory with AI-Driven Production
The new facility will integrate cutting-edge sustainable manufacturing, including dry booth painting to slash carbon emissions by 20% and smart factory systems like Hyundai’s ‘E-FOREST’ digital platform. A breakthrough “cellular method” production layout will enable flexible customization—grouping machinery to optimize workflow while supporting diverse vehicle configurations. AI and machine learning will automate quality checks, parts installation, and real-time assembly adjustments, reducing defects and downtime.
First Model: Mid-Sized ‘SW’ PBV for Commercial Use
Kia’s inaugural PBV, codenamed SW, will debut in 2025 on a dedicated EV skateboard platform (“eS”), designed for ride-hailing, deliveries, and B2B services. Its modular architecture allows adaptable body types, with an adult-height cabin for cargo or passenger use. The lineup will later expand to include large logistics vehicles, compact urban EVs, and autonomous robotaxis—all part of Kia’s strategy to cover every segment of the zero-emission transport market.
Hyundai Group’s 2030 Roadmap: 3.6M EVs Globally
The Hwaseong plant anchors Hyundai Motor Group’s ambition to produce 1.51 million EVs annually in South Korea and 3.64 million worldwide by 2030. The conglomerate plans 31 EV models across Hyundai, Kia, and Genesis brands, including the 2023 Kia EV9 SUV and 2024 Hyundai IONIQ 7. This investment aims to transform South Korea into an EV innovation hub, boosting local R&D, infrastructure, and supply chain resilience.
Human-Centric Design Meets Automation
While prioritizing automation for hazardous tasks, the factory will enhance worker ergonomics—reducing overhead strain and noise pollution. Natural lighting and streamlined processes will create a safer, more efficient environment. The design reflects Kia’s dual focus on technological leadership and employee welfare, setting a benchmark for next-gen automotive manufacturing.
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