South Korean automobile giant Kia is reportedly preparing for a major expansion in Andhra Pradesh as it looks to strengthen its electric vehicle (EV) and hybrid vehicle manufacturing operations in India.
The company, which already operates one of its largest manufacturing facilities in the state, is said to be exploring plans to transform Andhra Pradesh into a key EV production hub for its future growth.
The proposed expansion comes amid the Andhra Pradesh government’s continued efforts to attract global investments. Industry sources indicate that the state’s investor-friendly policies and the initiatives led by IT and Education Minister Nara Lokesh have played an important role in encouraging discussions with the automobile manufacturer.
During his visit to Seoul, Minister Nara Lokesh had earlier held detailed discussions with Kia Executive Vice President Tae Hun Lee and other senior company officials. At the meeting, he requested the company to expand its presence in Andhra Pradesh by establishing an integrated electric vehicle and hybrid vehicle manufacturing ecosystem. Following multiple rounds of discussions, Kia is now reportedly moving towards a positive decision on setting up additional EV manufacturing facilities in the state.
As part of the proposed expansion, Visakhapatnam is emerging as a key location in the company’s future plans. The Andhra Pradesh government has proposed establishing a Completely Knocked Down (CKD) assembly facility near Visakhapatnam Port to support exports of electric vehicles to global markets. With its strategic location and strong logistics infrastructure, the port is expected to offer significant advantages for Kia’s international operations.
The state government is also focusing on bringing advanced EV component manufacturing to Andhra Pradesh. Discussions are reportedly underway to establish production facilities for E-GMP platform components, battery systems and other critical electric vehicle parts within the state. If the proposal materialises, Andhra Pradesh could emerge as one of India’s largest electric vehicle manufacturing hubs.
While no official announcement has been made yet, the reported expansion plans reflect Andhra Pradesh’s growing position as a preferred destination for global automotive investments. If implemented, the project is expected to boost industrial growth, generate employment and strengthen the state’s role in India’s rapidly expanding EV ecosystem.