Indian Prime Minister Narendra Modi's 'Make-in-India' campaign has been a huge hit across the globe and across various industries, including automotive makers. We had told you about Honda Motorcycle and Scooter India Private Limited (HMSI) starting the production of CBR-650 - its high-end sports motorcycle - in the country from 2015. Turns out there's another name that isn't only keen to join in, but thinks it 'needs' a factory in India.
Kia Motors - the second largest automobile manufacturer in South Korea - believes it needs a factory in India in order to be able to not only utilize the growth there, but also to help balance out the slowing sales in Russia and China, thanks to lower cost implications.
Why the avid interest, you may ask. Well, if Kia decides to set up an engine plant here, it'll help Hyundai's overall expansion plans in India and its target of greater market share. Furthermore, it could, as the final step of its strategic play, help Kia establish itself as a premium player in the Indian market. Think of something like the Volkswagen - Skoda family.
Kia CEO Park Han-woo, a former head of Hyundai Motor's Indian unit, told the Dong-A Ilbo newspaper, "While growth in Russia or China is stagnating, India is where Kia will ultimately make a leap forward."
(With inputs from Reuters)
