Shutdown Decision Due to Export Blockage from COVID-19
Shutdown Periods: April 27?May 10 and May 22?25

Kia Motors Sohari Plant (Photo by Yonhap News)

Kia Motors Sohari Plant (Photo by Yonhap News)

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[Asia Economy Reporter Kim Ji-hee] Kia Motors' Sohari plant will enter a relay shutdown until next month. This is due to the inevitable production cuts caused by a decrease in new car demand in major export countries such as the United States amid the COVID-19 pandemic.


According to the industry on the 23rd, Kia Motors' labor and management agreed to suspend operations at Sohari Plants 1 and 2 from April 27 to May 10 and from May 22 to 25. Accordingly, the Kia Sohari plant is expected to operate for only about 13 days next month. Departments linked to finished vehicle production within the Sohari plant will also be closed during this period.


Previously, Kia Motors' labor and management discussed a plan to close Sohari Plants 1 and 2 and Gwangju Plant 2 from April 23 to 29, but negotiations faced difficulties as the union opposed it due to wage losses. Among the nine domestic Kia plants, the three plants under discussion for shutdown are known for having a high proportion of export vehicles such as Pride, Stonic, and Sportage.


Both labor and management agreed to pay wages during the shutdown period according to existing practices. Therefore, this shutdown is not expected to affect employees' annual leave, bonuses, or performance incentives.



The Kia Sohari plant also suspended operations for about ten days in February due to parts supply difficulties caused by the spread of COVID-19.


This content was produced with the assistance of AI translation services.

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