Expanding investment kia and Yueda opened a new era of joint venture

2022-06-20 0 By

On February 7, 2022, Kia Corporation of Korea signed an investment expansion agreement with Yancheng People’s Government and Jiangsu Yueda Group.Kia President Song Husheng, Yancheng government acting mayor Zhou Bin, Jiangsu Yueda Group chairman Zhang Naiwen, Dongfeng Yueda Kia General manager Liu Changsheng witnessed the signing.Dongfeng Yueda Kia General manager Liu Changsheng and Yancheng Economic Development Zone management committee director Wang Xudong signed on behalf of kia and Yueda planned to establish a new joint venture, open a new era of joint venture.The new joint venture plans to increase its capital by $900 million to rapidly increase vehicle sales and capacity utilization by expanding investment, introducing new models, developing new energy vehicles and setting up export bases.The plan is to release the new company name in April.Yancheng Municipal government will fully support Kia to expand sales in The Chinese market, and provide support for kia yancheng factory’s export trade, and help kia’s development in China.Since its entry into China in 2002, Kia has sold nearly 6 million vehicles in total, which has greatly promoted the development of the local auto parts industry.Kia will focus on introducing global strategic models and new energy vehicles, according to sources.The new models on the market this year will be equipped with a large number of safety configurations and new technology configurations to further improve product performance and market competitiveness, together with Jiahua, Smarrun Ace and other models on sale, to improve kia’s global strategic model lineup.Starting with the all-electric EV6 from next year to 2027, Kia will launch a new EV matrix of six models in the Chinese market every year.At the same time, Kia will also actively carry out innovative marketing activities to present the “New Kia” and sustainable future business vision to Chinese consumers.Will focus on the location of dealers, strengthen regional marketing, effectively increase consumer brand experience touch points;At the same time, “door-to-door test drive” and “door-to-door service” will continue throughout the year, so that consumers can test drive new cars and meet the basic after-sales service at home, and enjoy a good brand experience.In addition, the new SI (Terminal Image system) will be applied to all 4S stores and city showrooms to create a new kia brand image.In addition, the joint venture company will build a new organizational structure, establish an innovative organizational culture, actively introduce local talents and professionals, and accelerate the localization work.”Kia will accelerate the introduction of its Global Kia image in The Chinese market and make more efficient decision-making processes through organizational restructuring,” a Kia source said.In the future, Kia will continue to explore the most suitable management system for the Chinese market.”In addition, the new joint venture company will develop reasonable operating indicators, continuously optimize business policies, reward excellent dealers and other measures to achieve win-win cooperation with Chinese dealer partners.2022 marks the 30th anniversary of the establishment of diplomatic ties between China and South Korea and the 20th anniversary of Kia’s entry into China. It is also a crucial year for Kia to deepen its strategy of brand renewal and carbon neutrality in 2045.With the support of yancheng Municipal Government and Yueda Group, Kia will establish a foothold in Yancheng based on the turn-around strategy and “All New Kia, All New Start!”Business policy, accelerate the implementation of global strategy, integration of global resources, better feedback to the Chinese market, to provide Chinese consumers with more desirable products and services.It is worth mentioning that the regional integration of the Yangtze River Delta is a major national strategy, and Yancheng is the central city of the Yangtze River Delta.The joint construction of the China-Rok Industrial park is a major strategy proposed and promoted by President Xi Jinping, and an important decision and deployment made by the CPC Central Committee and The State Council with a global perspective in view of the new situation.Under the active promotion of yancheng government, Yancheng is currently the only production base of Kia in China;Yancheng will continue to serve as the base for its future business in China.Kia has set a target of producing and selling more than 4 million units in China over the next 10 years.