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Business & Commerce

Kia to Produce and Sell Fully Electric Vehicles in Mexico with $649 Million Investment

Last updated: July 29, 2026 8:44 pm
Yamna Shahid
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Kia to Produce and Sell Fully Electric Vehicles in Mexico with $649 Million Investment
Kia to Produce and Sell Fully Electric Vehicles in Mexico with $649 Million Investment
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MEXICO CITY — South Korean automotive giant Kia is expanding its manufacturing footprint into the electric vehicle sector in Mexico, investing $649 million to adapt its production lines for fully electric cars. Speaking at President Claudia Sheinbaum’s daily press conference on Wednesday, Kia Mexico Managing Director Horacio Chavez announced the strategic investment, while Economy Minister Marcelo Ebrard confirmed that production of the compact EV3 model will officially commence on August 4 at the company’s plant in the northern state of Nuevo Leon. The initiative is designed to utilize existing industrial infrastructure through line adjustments, ensuring the plant remains operational while pivoting toward sustainable mobility.

President Sheinbaum emphasized that a significant portion of the nationally manufactured electric vehicles will be targeted at the domestic market, aligning with the Mexican government’s broader agenda to accelerate EV adoption across the country. Kia, the second-largest automaker in South Korea and a core brand under the Hyundai Motor Group, continues to leverage its global manufacturing network—spanning South Korea, the U.S., Mexico, India, and beyond—to advance its technology-driven lineup and compete globally in the rapidly growing electric vehicle market.

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