Kia Motors

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Kia Motors Corporation, commonly known

as Kia Motors (Hangul:  기아자동차;
Hanja:  起亞⾃動⾞, IPA: [ki.a],
lit. "Kia automobile"; stylized as KIɅ),
headquartered in Seoul, is South Korea's
second-largest automobile manufacturer,
following the Hyundai Motor Company,
with sales of over 3.3 million vehicles in
2015. As of December 2015, the Kia Motor
Corporation is minority owned by Hyundai,
which owns a 33.88% stake valued at just
over US$6 billion. Kia in turn is a minority
owner of more than twenty Hyundai
subsidiaries ranging from 4.9% up to
45.37%, totaling more than US$8.3 billion.
 Kia Motors Corporation

Native name 기아자동차 주식회사

Formerly Kyungsung Precision
Industry
Type Public

Traded as KRX: 005380

Industry Automotive

Founded December 1944[1]

Headquarters Seoul, South Korea

Area served Worldwide (except

Japan and North Korea)
Key people Hyoung-Keun (Hank)
Lee, Vice Chairman and
CEO
Han Woo-Park,
President and co-CEO
 Peter Schreyer, Chief
Design Officer

Products Automobiles
Luxury cars
Commercial vehicles
Production output 3,007,976 units
(2016)[2]
Revenue KRW52.713 trillion
(2016)[3]
Operating income KRW3.442 billion
(2016)[3]
Net income KRW2.755 billion
(2016)[3]
Total assets KRW50.889 billion
(2016)[3]
Total equity KRW26.759 billion
(2016)[3]
Number of employees 53,255 (as of December
2013)[4]

Parent Hyundai Motor

 Company (33.88%)
Website kia.com

Kia Motors

Hangul 기아자동차

Hanja 起亞⾃動⾞
Revised Romanization Gia Jadongcha

McCune–Reischauer Kia Chadongch'a

Etymology
According to Kia Motors, the name "Kia"
derives from the Sino-Korean characters
"ki" (起, "to come out") and "a" (亞, which
stands for (East) Asia), it is roughly
translated as "to come out of the east."[5]

History

Kia Motors' South Korean factory

Kia old logo from 1994 to 2012.

Kia was founded in December 1944 as
Kyungsung Precision Industry, a
manufacturer of steel tubing and bicycle
parts, eventually producing Korea's first
domestic bicycle, the Samchully, in 1951.[1]
In 1952, Kyungsung Precision Industry
changed its name to Kia Industries,[6] and
later built Honda-licensed small
motorcycles (starting in 1957), Mazda-
licensed trucks (1962) and cars (1974).
The company opened its first integrated
automotive assembly plant in 1973, the
Sohari Plant.[7] Kia built the small Brisa
range of cars until 1981, when production
came to an end after the new military
dictator Chun Doo-hwan enforced industry
consolidation. This forced Kia to give up
passenger cars and focus entirely on light
trucks.[8] Prior to the forced 1981
shutdown, Kia rounded out its passenger
car lineup with two other foreign models
assembled under license: the Fiat 132[9][10]
and the Peugeot 604.[11][12] Starting in
1986 (when only 26 cars were
manufactured, followed by over 95,000 the
next year),[13] Kia rejoined the automobile
industry in partnership with Ford. Kia
produced several Mazda-derived vehicles
for both domestic sales in South Korea
and for export into other countries. These
models included the Kia Pride, based on
the Mazda 121 and the Avella, which were
sold in North America and Australasia as
the Ford Festiva and Ford Aspire.In 1992,
Kia Motors America was incorporated in
the United States. The first Kia-branded
vehicles in the United States were sold
from four dealerships in Portland, Oregon,
in February 1994. Since then, Kia
methodically expanded one region at a
time. Dealers in 1994 sold the Sephia; and
a few years later, the United States
segment expanded their line with the
addition of the Sportage. Over one
hundred Kia dealerships existed across
thirty states by 1995, selling a record
24,740 automobiles.[14]
Kia central office at Gangnam District Seoul

However, during the Asian financial crisis,

Kia declared bankruptcy in 1997; and in
1998 reached an agreement with Hyundai
Motor Company to diversify by exchanging
ownership between both companies.
Hyundai Motor Company acquired 51% of
the company, outbidding Ford Motor
Company which had owned an interest in
Kia Motors since 1986.[15] After
subsequent divestments,[16] Hyundai
Motor Company owns about one third of
Kia Motor Corporation. While Hyundai
Motor Company remains Kia's largest
stakeholder, Kia Motor Company also
retains ownership in some 22 different
Hyundai Motor Company subsidiaries.[17]
Since 2005, Kia has focused on the
European market and has identified design
as its "core future growth engine"—leading
to the hiring of Peter Schreyer in 2006 as
chief design officer[18] and his subsequent
creation of a new corporate grille known
as the 'Tiger Nose'.[19][20] In October 2006,
Kia Motors America broke ground for Kia
Motors Manufacturing Georgia in West
Point, Georgia, representing a US$1 billion
investment for the company.[21] Kia Motors
Manufacturing Georgia opened in February
2010, after Kia recorded its 15th
consecutive year of increased U.S. market
share.[22] In August 2014, the company
received international attention when Pope
Francis of the Catholic Church rode in one
of their compact cars, the Kia Soul, during
a five-day visit to South Korea.[23][24] The
Kia Soul drew bigger attention than two
other vehicles used by the Pope, their Kia
Carnival and Hyundai's Santa Fe, because
it appeared in the high-profile welcoming
ceremony of his arrival at the Seoul Airport
on August 14.[25][26] In 2016, Kia Motors
model reliability was ranked first in the
United States by J.D. Power and
Associates, becoming the first non-luxury
automaker since 1989 to top that list.[27]

Affiliations and subsidiaries

Hyundai Motor Company

As of December 31, 2015, the Hyundai

Motor Company owns a 33.88% stake in
Kia Motors.[28] Likewise, as of December
31, 2015, Kia Motors is owner in 22
different Hyundai companies. Its
ownership percentages range from 4.9%
up to 45.37%.[29]
Kia Motors Corporation

Kia Motors Corporation (KMC), founded in

1944, is South Korea's oldest
manufacturer of motor vehicles and is
now a subsidiary of the Hyundai-Kia
Automotive Group. Over 1.5 million
vehicles a year are produced in 13
manufacturing and assembly operations in
eight countries. These are then sold and
serviced through a network of distributors
and dealers covering 172 countries. Kia
today has 40,000 full-time employees
worldwide and annual revenues of over
US$14.6 billion. Kia Motors Corporation's
brand slogan is "The Power to Surprise".
From August 2009 until December 2012,
the company was led by Hyoung-Keun
(Hank) Lee.[30]

Kia Motors America

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Kia Sportage
Kia Optima

Kia Sorento

Kia Stinger

Kia Forte/Cerato
Kia Motors America (KMA) is the
American sales, marketing, and
distribution arm of Kia Motors Corporation
based in Seoul, South Korea. KMA is
based in Irvine, California. KMA offers a
complete line of vehicles through more
than 755 dealers throughout the United
States. For 2008, KMA recorded its 14th
consecutive year of increased U.S. market
share. In November 2009, Kia started
production at the first U.S. Kia Motors
plant, Kia Motors Manufacturing Georgia,
in West Point. As of December 2011, the
facility was building the 2012 Kia Sorento
crossover vehicle and the 2012 Kia Optima
sedan.

Kia Motors Europe

Kia Motors Europe (KME) is the European

sales and marketing division of Kia Motors
Corporation (KMC). It has been selling
cars in Europe since the first half of 1991.
In 2007, KME moved from its previous
location at Hauptstrasse 185, Eschborn
(near Frankfurt), to a new purpose-built
facility adjacent to the Messe, in Frankfurt
city centre. From 1995 to 1999, Kia
produced left- and right-hand drive
versions of the first generation Sportage
SUV at the Karmann factory in Osnabrück,
Germany. From 1999 until production of
the model ceased in 2003, all Sportage
production reverted to South Korea. When
Kia launched in Europe during 1991, it
initially sold only the Pride supermini—a
rebadged version of the late 1980s Mazda
121. It initially proved popular with buyers,
but sales fell towards the end of the
decade, and the end of production was
finally announced in May 2000, with its
successor – the Rio – not going on sale
for another year. By the end of 1991, Kia
had sold nearly 1,800 Prides in the United
Kingdom. The first full year, 1992, saw that
figure double, and, in 1993, it increased
again to nearly 5,500 units. The European
range expanded in the spring of 1994
when Kia began importing the larger
Mentor, a range of medium-sized
hatchbacks and sedans which were
marketed as inexpensive and well-
equipped alternatives to the likes of the
Ford Escort and the Vauxhall/Opel Astra. A
facelift in 1999 saw the Mentor name
retained for the saloon (sedan), but the
hatchback was renamed Shuma. These
models remained on sale until 2004, when
the newer Cerato was launched and gave
Kia one of its first serious competitors
against mainstream brands. The Clarus
saloon and Sedona MPV were also
launched onto the UK market during 1999,
helping Kia begin its rise in popularity. The
Sportage SUV range, first sold in 1995, has
been popular across Europe, but, since
2002, Kia has gained more sales in this
market thanks to the launch of the larger
Sorento. Despite Kia's range increasing
from one car as late as 1993 to three cars
by the end of 1995, British sales actually
decreased in that period, from nearly 5,500
in 1993 to less than 4,000 the following
year. In 1998, Kia's future in Britain was
thrown into serious doubt when it sold less
than 3,000 of its whole range – the worst
in any full year on the British market. Kia
did not enter Europe's large family car
market until the launch of its Clarus four-
door sedan in 1999—a year behind
schedule due to the financial difficulties
that Kia was facing before it was taken
over by Hyundai. This car was similar in
size to the Ford Mondeo and the
Opel/Vauxhall Vectra, but, on its launch,
was actually less expensive to buy than
the smaller Focus and the Astra. It had a
spacious interior, large boot, competitive
asking price, and high equipment levels,
but it had little more appeal to sway buyers
away from established European brands
like Ford, Vauxhall/Opel and Peugeot. Its
successor, the Magentis, launched in
2001, was still nowhere near as popular as
Kia might have hoped it would be,
although with a sub-£14,000 asking price it
offered the cheapest V6-engined car in the
UK, by which time it was rare enough for a
six-cylinder car to be priced at less than
£20,000. Kia entered the MPV market in
1999 with the Sedona. On its launch, it
was the lowest-priced, full-size people
carrier on sale in the United Kingdom. With
the range expanded by 1999, sales for that
year reached almost 6,400 – more than
double the previous year's total. That
annual sales figure had almost been
matched in 2000 by the end of May,
reflecting Kia's growing popularity with
British buyers.[31] By 2009, Kia was firmly
established as a popular brand in Britain,
when sales broke the 50,000 barrier for the
first time and the brand now had a share
of more than 2% in the new car market.
The Picanto was the most popular single
model with nearly 17,000 sales.[32] In late
2006, Kia opened its first own plant in
Europe at a cost of approximately EUR
1.7 billion in Žilina, Slovakia, in the village
of Teplička nad Váhom, after construction
between October 2004 and December
2005. It has since produced over
2.5 million units of the Kia Cee'd, Kia
Sportage and Kia Venga, as well as seven
types of engines. In 2016, 339,500 cars
and 612,915 engines were
manufactured.[33] The area of the plant is
166 ha and Mobis Slovakia, the largest
supplier, is situated right on the carmaker's
premises. As of December 31, 2016, 3,625
employees worked in the facility, while
their average age was 35.[34] The relatively
low number of employees working in three
shifts is related to a high degree of
automation as well as high integration
with Mobis Slovakia. In 2016, Kia Motors
Slovakia recorded revenue of EUR
5.56 billion. Although the European car
market knows significant difficulties, Kia
announced increased sales in 2013.[35]
Kia Motors Mexico

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The company has built a $1 billion

manufacturing plant in the northern
Mexican state of Nuevo León, which
produces 300,000 cars a year. Details of
the factory, built in the city of Pesquería,
were revealed in a joint press conference
given by Kia Motors CEO Hyoung-Keun Lee
and the President of Mexico Enrique Peña
Nieto in Mexico City on August 28, 2014.
The plant was expected to be completed
in the first half of 2016.[36] This factory is
involved in controversies because it was
built on unevenly purchased land and the
construction agreement was made with
advantage conditions and out of the local
dispositions to Kia.[37][38]

Kia Motors India

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The company is planning to enter the

Indian market in 2019[39] with their 'Made
for India' SUV- SP2 Concept. The company
is currently building a production facility
on a Greenfield land in Anantpur district,
Andhra Pradesh. The expected annual
production capacity is 300,000 units. Kia
Motors appoints Kookhyun Shim as MD &
CEO. In his new role, Shim will be
responsible for leading the carmaker's
expansion in the Indian market. Shim will
play a leading role in ensuring KMI's
projected timeline and schedule of
operations is achieved. He will also
oversee the construction of Kia Motor's
first manufacturing facility in India, to help
strengthen the company's position in the
fifth largest global automotive market. Kia
has committed investments to the tune of
$1.1 billion to develop operations in India.

Kia Defense
Kia KM420

Kia Motors has specialized in the

production of military vehicles with
variants and other transportation
equipment and by supplying them as a
sole maker of military vehicles designated
by the South Korean Government since
1976, when Kia Heavy Industry Co. Ltd.
(now known as Hyundai Wia) was
established. Kia is currently designing a
Kaiser Jeep M715-type vehicle named the
KM450 for the South Korean Army on
license from the U.S. Government. Kia is
also the owner of the former ex-Asia
Motors factory at Gwangju.

Models

Current fleet of electric and hybrid-electric vehicles

Kia Amanti sedan

Kia Borrego SUV
Kia Cadenza sedan/hatchback
Kia Forte sedan/hatchback
Kia K900/K9 luxury sedan
Kia Niro hybrid/electric SUV
Kia Optima sedan/hatchback
Kia Quoris sedan
Kia Rio sedan/hatchback
Kia Rondo
Kia Sedona minivan
Kia Sorento SUV
Kia Soul hatchback
Kia Sportage SUV
Kia Stinger sports sedan
Kia Telluride SUV
Facilities

Design emphasis

“
In the past, the Kia cars were very
neutral. When you saw one on the
road, you didn't really know if it
was Korean or Japanese…I think
it's very important that you are
able to recognize a Kia at first
sight. ”
— Peter Schreyer[40]

Beginning in 2006 Kia identified design as

its "core future growth engine" – leading to
the 2006 hiring of Peter Schreyer and to
the 2005 hiring Tom Kearns as Chief
Design Officer.[18] Schreyer had previously
worked at Audi (designing the Audi TT)
and Volkswagen and had won the Design
Award of the Federal Republic of
Germany.[41] Kearns had previously worked
at Cadillac as Chief Design Officer and
was responsible for influencing Cadillac's
direction of hard angles and sharp lines
within their design.[42] Schreyer has since
been central to a complete restyling of
Kia's lineup,[43] overseeing design activities
at Kia's design centers in Frankfurt, Los
Angeles, Tokyo, and the Namyang Design
Center in South Korea.[44] With the Kee
concept vehicle, shown at the Frankfurt
Motor Show in 2007,[20] Kia introduced a
new corporate grille[20] to create a
recognizable 'face' for the brand. Known
as the Tiger Nose, Schreyer indicated he
wanted "a powerful visual signal, a seal, an
identifier. The front of a car needs this
recognition, this expression. A car needs a
face and I think the new Kia face is strong
and distinctive. Visibility is vital and that
face should immediately allow you to
identify a Kia even from a distance."[20]
Schreyer described how the Kia Tiger
Nose came to be as he explained, "I was
just working on the car and just thinking
about different possibilities, and suddenly I
found it."[45] Commenting on the new
signature grille in 2009: "From now on,
we'll have it on all our cars".[46] Kia has
since featured the Tiger Nose on all of
their vehicles, ranging from the compact
Kia Soul, on to the edgy new design of the
Kia Optima, and to the larger SUV, the Kia
Sorento. Kia cars have won the
International Car of the Year award every
year since 2013.[47]

Controversies
In late 2012, Kia Motors was forced to
admit error in inflating its United States
Environmental Protection Agency mileage
claims and had to reduce its fuel economy
claims in the U.S. by about 3 percent
across the board and to offer
compensation to previous vehicle
buyers.[48]

Nuevo León plant

Announcement of the Kia assembly plant, Mexico City,

2014

Since 2014, Kia Motors has been involved

in controversies in Mexico due to alleged
irregularities in the construction of one of
its manufacturing plants, located in the
municipality of Pesquería, Nuevo León.
The construction of the plant was done in
an irregularly purchased land agreement
between Kia Motors Mexico and the State
of Nuevo León, then headed by Rodrigo
Medina de la Cruz, was signed with
unfairly advantageous conditions, such as
bigger tax incentives than those allowed
by Mexican law (tax exemptions for 20
years when the standard is 5), extended to
the Mexican providers of Kia.[37] A copy of
the full agreement was published in
Facebook by current Nuevo León governor,
Jaime Rodríguez Calderón, as part of a
prosecution case against Medina[49] and
he declared that the signed agreement
with his predecessor would be
cancelled.[50] A new agreement was then
reached with Rodriguez's administration
on June 2016.[51] Former governor Medina
de la Cruz and 30 other officials of the
former state administration were
investigated by an anti-corruption
prosecutor for alleged embezzlement,
improper exercise of public functions and
damage to Nuevo León State assets.[52][53]
Medina was then taken into custody on
January 26, 2017, in relation to this case
and others in which he is involved.[52]

Sponsorship
UEFA Euro 2012

Kia Motors sponsors the following sports

teams, events and athletes:

Sports associations

League of Legends European

Championship (LEC)
FIFA
UEFA
Liga ACB
 National Basketball Association (NBA)
Women's National Basketball
Association (WNBA)

Sports events

Archery World Cup

Asian Games
Australian Open (tennis tournament)
Copa Kia do Brasil (football tournament)
Copa América
FIBA Asia Championship
FIFA World Cup
Kia Classic (LPGA)
Kia Lotos Race
 Kia Super League (cricket)
Korea Speed Festival
UEFA European Championship
Universiade
X Games
X Games Asia

Sports teams

Atlanta Falcons
Atlético Madrid (Spanish professional
football club)
Bengaluru FC (Indian professional
Football Club)
Boston United FC (English Football Club)
Canterbury Bulldogs (National Rugby
League)
England women's cricket team
Greater Western Sydney Giants
(Australian Football League)
FC Girondins de Bordeaux (French
association football team)      
Global F.C. (Philippines association
football team)
Kia Forte (Shakey's V-League)
Kia Picanto (Philippine Basketball
Association)[54][55]
Kia Tigers (Korean Baseball Team in
Gwangju, South Korea)
Philippines national football team[56]
Qormi FC (Maltese association football
team)
FC Spartak Moscow (Russian
association football team)
Slovakia national football team
South Korea national speed skating
team
Surrey County Cricket Club
Toronto FC (North American Major
League Soccer team)
Vitória de Setúbal (Portugal association
football team)
 Waikato Bay of Plenty Magic (ANZ
Championship netball team)
Kia Speed Skating Academy
FC Steaua București (Romanian
association football team)

Athletes

Ryan Ford (MMA fighter)

Fernando González (Chilean tennis
player – 2004 & 2008 Olympic medalist)
Badr Hari (Moroccan kickboxer)
LeBron James (Global brand
ambassador)[57]
Blake Griffin (NBA Basketball Player)
Lee Sang-hwa (Speed skater)
 Yulia Lipnitskaya (Russian figure skater)
Aliya Mustafina and Viktoria Komova
(both Russian artistic gymnasts)
Rafael Nadal (Global brand
ambassador)
Manny Pacquiao (Filipino boxer)
Adelina Sotnikova (Russian figure
skater)
Michelle Wie (Official golf ambassador &
spokesperson – KMA)

Actors

Pierce Brosnan[58]
Laurence Fishburne[59]
Christopher Walken[60]
Musicians

Blackpink[61]
Chase Bryant[62]
Hyolyn[63]
Itzy[64]
Matthew Koma[65]
MisterWives[66]
Weezer[67]

Music events

Live at The Chapel (Australian music

concert)
Vans Warped Tour
YouTube Music Awards (2013)
Charity events

We Can Be Heroes (joint-venture

between Kia and DC Comics);[68]

Entertainment

Tobot[69]
X-Men[70]

Slogans
KIA, The Car That Cares (2000–2005)
KIA, The Power To Surprise (2005–2018)

See also
List of Kia design and manufacturing
facilities
Automotive industry in South Korea
 Hyundai Motor Group
Dewan Farooque Motors
Economy of South Korea

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