Published : 13 November 2026
Read Time : 5 min
Author: Nikil Jonathan
Kia India have announced a combined investment of USD 2 billion (approximately Rs 18,000 crore) with its supplier partners to set up its second manufacturing plant in Andhra Pradesh. The carmaker signed an MoU (Memorandum of Understanding) with the state government for the proposed facility, which will be located in Anantapur, where Kia already operates its existing manufacturing plant.

The new facility will add 2 lakh units of annual production capacity, taking Kia India’s combined installed capacity across both plants to over 6 lakh units. The company expects the second plant to begin production in early 2030. The expansion is also expected to generate around 12,000 direct and indirect job opportunities.
Kia’s proposed second manufacturing facility and its supplier ecosystem will occupy a combined area of 465 acres. This will be in addition to the existing plant, which is spread across 945 acres, including its supplier area.
The new facility will feature the same key manufacturing processes as the existing plant, including stamping, welding, painting and assembly. It will have an annual installed capacity of 2 lakh units, while the current plant can produce up to 4.3 lakh units annually.
With both plants operational, Kia India’s total annual manufacturing capacity will reach approximately 6.3 lakh units. The company also stated that its cumulative investment across the 2 facilities will reach around $5 billion, including the initial $2.9 billion investment in the existing plant.

Kia says the second plant will support the production of new models across internal combustion engine (ICE) and electric vehicle (EV) powertrains. The additional capacity is expected to give the carmaker greater flexibility to respond to demand in India and overseas markets.
Kia’s existing Indian portfolio includes models such as the Seltos, Sonet, Syros, Carens, Carens Clavis and Carnival, with different models offering petrol, diesel, CNG, hybrid and electric powertrains. The company has not yet announced which specific models will be manufactured at the new facility.
The second plant could also strengthen Kia’s ability to introduce more models and expand its local manufacturing footprint over the coming years. However, details about the products planned for the facility are yet to be revealed.
Also Read: 2027 Kia Sonet Spied – New Design And Features
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Content Writer
Nikil's a huge fan of classic cars, especially Italian beauties such as the Alfa Romeo Giulia Sprint and the Iso Grifo. His love for cars and bikes originated when he first laid his eyes on a poster of the Ferrari F40 and the MV Agusta F4 when he was just a child. He also loves all things analogue, especially vintage cameras and turntables.

























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