Kia India plans US$ 2 billion investment in second manufacturing plant in Andhra Pradesh; production targeted for 2030
- IBEF
- November 13, 2026
Kia India plans to invest approximately Rs. 19,010 crore (US$ 2 billion) in a second manufacturing plant in Anantapur, Andhra Pradesh, with production targeted to begin in 2030. The proposed facility will be spread across 465 acres and add 200,000 vehicles to the company's existing annual production capacity of 430,000 units. It will manufacture vehicles powered by internal combustion engines and electric motors, catering to both domestic and export markets. The expansion is expected to take Kia's combined investments across its two Indian facilities, including supplier investments, to approximately Rs. 47,525 crore (US$ 5 billion). The company said the new plant will support the introduction of new models and strengthen its ability to serve domestic and overseas markets.
The expansion builds on Kia India's existing manufacturing operations in Anantapur, where the company began mass production in August 2019 following an agreement with the Andhra Pradesh Government in 2017. The existing facility manufactures models such as the Seltos and Sonet for domestic and international markets. The proposed investment comes amid growing commitments by global automobile manufacturers to expand production capacity in India, the world's third-largest car market. Kia's expansion is expected to strengthen the country's automotive manufacturing ecosystem, support supplier networks and increase production capacity for both conventional and electric vehicles.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
Partners
