Rumour: Kia's first factory to be set up in Andhra Pradesh

Kia Motors is reportedly close to finalising the South Indian state of Andhra Pradesh as the site of its first manufacturing facility in India. As per media reports, the Korean automaker will likely be confirming the final site in Ananthapur district by the end of this month.

Kia has been in talks with various states for setting up its production facility in the country. Tamil Nadu and Andhra Pradesh were the front runners to get Kia on-board. The latter clearly seems to have offered a lucrative proposition to the Korean automaker, thus succeeding in bringing its production facility to the state's kitty. Interestingly, Tamil Nadu is home to Hyundai Motor Co., Kia's affiliate brand.

The Andhra Pradesh state government has reportedly offered around 600 acres of land to the automaker for setting up its manufacturing facility. The exact location of the factory hasn't been finalised yet. Kia is aiming to start producing small cars through the said facility from July 2019.

Source: Reuters