[Exclusive] Kia Motors' Yanchen Plant in China to Become Mask Production Base
"Decision According to Chinese Government Recommendation"
[Asia Economy Reporter Kim Ji-hee] Kia Motors will begin producing masks at its local factory in China. This move comes as the Chinese government encourages local companies to produce masks, amid a growing trend of using completed vehicle factories as mask production bases in regions such as the United States and Europe, where the novel coronavirus disease (COVID-19) is rapidly spreading.
According to industry sources on the 25th, Kia Motors will start mask production at its Yancheng factory in China. Earlier, in February when COVID-19 spread within China, production at the Chinese factory experienced some disruptions. Although the factory is currently operating normally, its operating rate is reported to be below usual levels. In particular, there have been ongoing difficulties in securing masks necessary for factory operations. To keep the factory running, masks must be provided not only to Kia employees but also to partner companies, but due to the unstable supply of masks, Kia has decided to produce masks directly.
A Kia Motors official stated, "This is a matter recommended by the Chinese government to completed vehicle manufacturers located locally," and added, "We are currently reviewing mask production."
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This is not the first time a completed vehicle manufacturer in China has declared mask production. Fiat Chrysler Automobiles (FCA), an Italian-American joint completed vehicle manufacturer, announced on the 23rd that one of its production plants in China would be converted into a mask production facility.
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