Kia revises business plan: fewer electrics and more hybrids. New models arrive

Kia outlined at the Ceo Investor Day the road map it has defined for 2030 of the Plan S strategy presented in 2020, which had been defined until this year. The evolution revises many factors and is based as much on the flexibility of the offer to meet the needs of every part of the world as on the introduction of new models, the affirmation of its new electric commercial vehicles in the PV range, the debut in the pick-up sector, the development of new digital architectures and reviewing the "weights" of the line-up formed by the full-hybrid, plug-in hybrid and extended range vehicles and the full-electric range.

After setting a 2025 target of selling 3.2 million vehicles this year or 4.1 per cent more than in 2024, Kia is aiming to sell 4.2 million by 2030. Although slightly down on last year's forecast of a €25.7 billion investment, the brand will increase its global production capacity by 17 per cent over current levels to support the enrichment and expansion of its future range. By the end of the decade, it will consist of both many new models, even those specifically developed and produced only for certain markets, such as the small electric EV2 that will be marketed next year in Europe, and extensive updates of others. The increase in production will not only be linked to the introduction of new cars of every size and with every type of motorisation, but also to the enrichment of the electric commercial vehicle range in which, alongside the PV5 that will be marketed in the summer, there will be the PV7 in 2027 and the PV9 in 2029 for which a new production plant has been built in Korea, and the entry into the pick-up sector with the Tasman, which will be offered with both thermal and electric motors to meet the different needs of the markets in which it will be sold.

Compared to what was announced at last year's Investor Day, Kia has also revised the numbers for the electric range and the range of full hybrids and plug-in hybrids to which the hitherto absent range extenders will be added, which it identifies as xHev. Notwithstanding the fact that ten new full-electric models will be unveiled as already announced, albeit no longer by 2027 but by 2030, the overall production target has not shifted much from the previously announced 2.3 million units, but, considering as other manufacturers do how the transition to the electric car is proceeding more slowly than expected, it has redefined the weights of the factors determining it. Thus, that of full-electric goes up from 1.6 million to 1.26 million, while that of xHev goes up from 780 thousand to 1.07 million. Apart from this, Kia plans to optimise full-electric production in strategic regions. Korea will be the global hub for development and will obviously produce Ev, North America will focus on medium and large SUVs, Europe on compacts and hatchbacks, and India on compact SUVs developed for the domestic market. In any case, Kia will maintain the flexibility of its offer by producing internal combustion engine, hybrid and electric vehicles at thirteen plants around the world, two of which are dedicated exclusively to full-electrics. This also includes the range of battery-powered light commercial vehicles, which the Korean manufacturer expects to sell 250,000 units by the end of the decade.

To accelerate Hyundai Motor Group's software-defined car (Sdv) innovations, Kia is collaborating with multiple divisions within the Group including the Advanced Vehicle Platform and the 42dot global software centre through the development of an advanced electrical/electronic architecture that enables continuous upgrades and optimises performance, an Sdv operating system that ensures a seamless user experience, and software that provides a platform for ultra-personalised applications that enhance connectivity and functionality. Next year, Kia will unveil its Sdv Pace Car, featuring full-stack Sdv and autonomous driving technologies integrated with artificial intelligence. After the debut of this car, the brand will focus on the implementation of Level 2+ autonomous driving characterised by more advanced and stable autonomous systems and AI-powered technology, laying the foundation for large-scale production and a complete software ecosystem from 2027. In particular, Hyundai Motor Group's major technology affiliates are participating in these projects, including Motional for autonomous driving across the entire electric vehicle range, Boston Dynamics for automation through the Stretch logistics robot for last-mile deliveries and the Spot quadruped robot in the PV electric commercial range, as well as Supernal to connect them to air mobility solutions and create a seamless multimodal transport network.