Kia Corporation is a South Korean multinational automobile manufacturer headquartered in Seoul, South Korea. It is South Korea's second largest automobile manufacturer, after its parent company, Hyundai Motor Company, with sales of over 2.8 million vehicles in 2019. Kia is owned by Hyundai, which holds 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.
Etymology
According to the company, "Kia" derives from the Hanja 起 (ki, 'to arise') and 亞 (a, which stands for 亞細亞, meaning 'Asia'); it is roughly translated as 'rising from (East) Asia'.[6][7][8]
History
Origins and the early expansion
Kia was founded in May 1944, as Kyungsung Precision Industry (경성정밀공업; 京城精密工業), a manufacturer of steel tubing and bicycle parts, eventually producing South Korea's first domestic bicycle, the Samchuly, in 1951. In 1952, Kyungsung Precision Industry changed its name to Kia Industries,[9] and later it built Honda-licensed small motorcycles (starting in 1957) and Mazda-licensed trucks (1962) and cars (1974). The company opened its first integrated automotive assembly plant in 1973, the Sohari Plant.[10] Kia built the small Mazda-based 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.[11]
Board of directors
As of March 2023:
- Chung Eui-sun, Chairman
- Song Ho-sung, President and CEO
- Choi Jun-young, Executive Vice President and Chief Safety Officer
- Joo Woo-jeong, Executive Vice President & CFO
- Han Chol-su, Outside Director
- Jo Wha-sun, Outside Director
- Chyun Chan-hyuk, Outside Director
- Shin Jae-young, Outside Director
- Jennifer Hyunjong Shin, Outside Director
Previous CEOs
- Chung Eui-Sun (2005–2009)
- Hyong-keun (Hank) Lee (2009–2017)[30]
Affiliates and subsidiaries
Hyundai Motor Company
As of December 31, 2015, the Hyundai Motor Company owns a 33.88% stake in Kia Motors.[33] Likewise, as of December 31, 2015, Kia Motors is a part owner of 22 Hyundai companies. Its ownership percentages range from 4.9% to 45.37%.[34]
Kia America
Kia Motors America (KMA), now known as Kia America, Inc., was incorporated in California on October 21, 1992, and became the American sales, marketing, and distribution arm of Kia Corporation. Kia America is based in Irvine, California, and currently offers a complete line of vehicles through more than 755 dealers throughout the United States. The first two models that were introduced to the U.S. market in 1993 were KIA Sephia and Kia Sportage 4x4. In the United States, sales began in late 1993 for the 1994 model year, at four dealerships in Portland, Oregon.
As a brand, KMA has continued to improve over the years as well; in 2013, Kia Motors America recorded its 18th consecutive year of increased U.S. market share, and for the past five consecutive years (2015–2019) it has been recognized by J.D. Power as the highest ranked mass market brand in initial quality.
Models
Sales figures
Facilities
Design emphasis
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.[23] Schreyer had previously worked at Audi (designing the Audi TT) and Volkswagen and had won the Design Award of the Federal Republic of Germany.[57] 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 its design. Schreyer has since been central to a complete restyling of Kia's line-up,[58] overseeing design activities at Kia's design centers in Frankfurt, Los Angeles, Tokyo, and the Namyang Design Center in South Korea.[59]
Controversies
United States Environmental Protection Agency
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.[64]
Nuevo León plant
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.[46]
A copy of the full agreement was published on
Logo history
Sponsorship
Kia Motors sponsors the following sports teams, events, venues, and athletes:
Venues
- Kia Arena
- Kia Center
- Kia Forum
- Kia Oval
Sports associations
- League of Legends European Championship (LEC)
- Liga ACB
- National Basketball Association (NBA)
- National Rugby League (NRL)
- Women's National Basketball Association (WNBA)
Slogans
See also
- List of Kia design and manufacturing facilities
- Automotive industry in South Korea
- Hyundai Motor Group
- Kia EcoDynamics
- Economy of South Korea
External links
References
- Kia History kia.com^
- KIA CORP. 000270 FnGuide, 2022, retrieved 28 January 2024^
- Kia Sustainability Report 2023 Kia^