Kia 2014 Annual Report Download - page 15

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2014 Global Sales Growth (Year-on-Year Change)
North America China
18.2%
Europe
4.3%
500,623 units 481,536 units
306,689 units
OptimaSportage 43
464,508 units
2014 Sales Growth by Region (Year-on-Year Change)
2014 Best-selling Models
5.9%
8.4%
Cerato (Forte/K3)
1 2
Rio (K2)
Kia Motors signs US$1 billion investment
agreement for establishment of
manufacturing plant in Mexico.
by focusing on the sales of hybrid cars and electric vehicles such
as the Soul EV. We will also increase the production and sales of
strategically localized models; for example, we will actively respond
to the demand of Chinese customers for small SUVs by launching
the KX3, a localized strategic subcompact SUV. Above all, we will
continue to strengthen our global management through diversied
efforts in overseas markets. This includes the construction of a new
plant in Mexico, which is to commence production by mid-2016, as
well as expansion of our third plant in China.
In 2015, the global auto market will continue to face difculties due
to increasing uncertainties and intensifying competition. Car sales
will be negatively affected by poor consumer sentiment arising from
the global nancial market unrest, China’s low growth stabilization
policy, and political and economic instability in emerging countries.
However, in any crisis, opportunities arise. Based on the belief
that the strength of overcoming difculties begins with accepting
challenges, Kia Motors has set our sales targets at 650,000 units in
the U.S., a year-on-year rise of 12%, 375,000 units in Europe (5.8%
rise), and 745,000 units in China (15.3% rise).
To this end, in addition to launching the next generation Optima
and Sportage models, Kia Motors plans to carry out sensory
marketing to enhance brand awareness, sports marketing to
capture the hearts of sports fans around the world, and youth
marketing to attract younger generations to the Kia brand. We will
also improve our protability through aggressive promotion of SUV
models including Carnival and Sorento, reecting a shift in market
trends from small-sized cars to SUVs.
Kia Motors will expand the development of eco-friendly cars
and enhance our eco-friendly brand image in overseas markets
Aiming high and weathering the crisis
Kia Motors has signed an investment agreement worth US$1
billion with the Mexican government to build a state-of-the-art
manufacturing plant in Monterrey, Mexico. Construction began in
September 2014, and will be nished in the rst half of 2016. Once
built, the plant will boast an annual production capacity of 300,000
vehicles, boosting Kia’s total global manufacturing capacity to 3.37
million vehicles, with 1.69 million produced at domestic plants
and 1.68 million overseas. Kia plans to produce a range of yet-to-
be conrmed compact models at the new plant, while using it as a
foundation for strengthening the brand’s sales presence throughout
the entire Central and South America region.
Strengthening sales presence in Central and
South America
26 27
Annual Report 2014Our Performance