Kia India to invest $2 billion in new Andhra Pradesh plant
The investment is expected to create 12,000 jobs and increase the automaker's annual production capacity to 6.3 lakh vehicles.
Kia India will invest approximately $2 billion (around Rs 17,000 crore) to establish an additional manufacturing plant in Andhra Pradesh, according to reports by The Times of India and The Tribune. Kia India Managing Director and CEO Gwanggu Lee announced the expansion during the 31st CII Partnership Summit in Visakhapatnam on Thursday.
The proposed facility is expected to create around 12,000 jobs and increase the company's total annual production capacity to 6.3 lakh vehicles. The automaker currently operates a manufacturing plant in Anantapur, which has an annual production capacity of 4.3 lakh vehicles.
Lee stated that the expansion would strengthen the company's long-term commitment to the Indian market. He noted that the company's first manufacturing plant in the state was established and commissioned in 14 months starting in 2017.
The existing Anantapur facility has also served as an export hub, with more than 4.1 lakh vehicles and kits exported to nearly 100 countries. In financial year 2026, Kia India produced 3.17 lakh vehicles, including 2.89 lakh units for the domestic market and 27,953 units for export.
The company is also planning to introduce several models across different powertrains, including battery-electric, petrol, diesel, hybrid, and CNG segments. The automaker recently launched a facelifted Seltos SUV and the new Sorento.
The company has not specified when the investment will be made or when the additional production capacity will become operational.