KIA Invests $649 Million to Build Mexico's First Locally Produced EV

With this investment, the South Korean company will fully produce and market the first electric vehicle in Mexico, creating 500 new jobs this year and 1,500 direct jobs between 2027 and 2030. The vehicle will initially have 27% national content, a figure that will increase as the project progresses. The EV3 will be produced mainly for the domestic market, with exports to other countries also under consideration.

The announcement was made during President Claudia Sheinbaum’s daily press conference in the presence of KIA CEO for Mexico, Young Sam Kim. During the event, she highlighted that this investment demonstrates confidence in the country and promotes the transition to electromobility.

According to KIA Mexico Commercial Director Horacio Chávez, the EV3 represents a new generation of mobility and is tailored for Mexican families, combining "innovation, safety, technology, and functionality in a vehicle designed to make electric mobility increasingly accessible, practical, and relatable."

Furthermore, KIA’s investment also includes the development of an ecosystem to facilitate the adoption of electro-mobility with charging solutions for homes, public spaces, and roadside assistance, noted Chávez.

Meanwhile, the Director of Administration at KIA Mexico, Marinela Calderón, highlighted that the company is currently building a 2-megawatt solar park within the manufacturing complex, with a planned expansion to 8 megawatts by 2030. 

“In addition to reducing carbon emissions, this project contributes to a cleaner and more competitive industry. The energy generated will be equivalent to the annual consumption of more than 4,000 Mexican homes,” noted Calderón.

KIA CEO for Mexico Young Sam Kim asserted that the company will be the most strategic and reliable partner “to achieve shared prosperity, based on advanced ESG (Environmental, Social, and Governance) initiatives” through these investments, which are aligned with Plan Mexico.  

Mexico’s Secretary of Economy, Marcelo Ebrard, highlighted the importance of this investment, which fulfills a main objective of Plan Mexico: increasing national production. He noted that KIA's decision to invest in Mexico—despite automotive industry uncertainty due to the tariff environment and protectionist policies pushed by the Trump administration—reflects strong confidence in the country.

Photo: Gobierno de México