Kia to Sell 4.3 Million Vehicles Globally by 2030... One in Three Will Be Electric Cars

Kia 2023 CEO Investor Day on the 5th
1.6 Million Global Electric Vehicle Sales by 2030... 55% Eco-Friendly Vehicle Share
Target Operating Profit of 16 Trillion KRW and 10% Operating Margin by 2030
Connectivity Applied to All New Cars by 2025

Kia has set its global sales target for 2030 at 4.3 million units, more than 30% higher than this year. During the same period, the electric vehicle sales target is set at 1.6 million units, aiming to sell one electric vehicle out of every three vehicles globally. The company plans to accelerate its electrification strategy to achieve an operating profit margin of 10%.

On the 5th, Kia held the '2023 CEO Investor Day' at the Conrad Hotel in Yeouido, where it announced its new mid-to-long-term business strategy and financial goals. First, Kia revealed plans to sell 4.3 million units in the global market by 2030. This figure is 34.4% higher than this year's target of 3.2 million units. Additionally, the company aims to increase the share of eco-friendly vehicles (2.38 million units), including 1.6 million electric vehicles, to 55%.

Song Hoseong, President of Kia, is presenting Kia's mid- to long-term strategy at the '2023 CEO Investor Day' held at the Conrad Hotel Yeouido on the 5th.
[Photo by Kia]

Kia's targets are much more aggressive than the mid-to-long-term strategy announced at last year's '2022 Investor Day.' The 2030 global sales target announced this year was increased by 300,000 units (7.5%) compared to last year’s announcement, and the electric vehicle sales target was raised by 400,000 units (33%).

Kia plans to build a full lineup of 15 electric vehicle models by 2027, including the flagship electric SUV EV9. The number of electric vehicle models has been increased by one compared to last year's plan. Furthermore, all new vehicles launched after 2025 will be equipped with connectivity services and will be able to update and optimize performance through over-the-air (OTA) updates.

Regarding autonomous driving technology, Kia will apply Highway Drive Pilot (HDP), a level 3 autonomous driving technology that allows hands-free driving on certain sections, to the EV9 launching this year. In 2026, the company plans to introduce HDP2, which enables autonomous driving without the driver needing to watch the road under specific conditions.

Kia has also further detailed its new business concept centered on Purpose Built Vehicles (PBV). A dedicated PBV production plant will be established at Autoland Hwaseong, and a mid-sized dedicated PBV model will be launched in 2025. Subsequently, PBV robotaxis equipped with autonomous driving technology will be introduced, and a full lineup of PBVs ranging from small to large sizes will be developed.

On the same day, Kia announced its mid-to-long-term financial performance goals through business structure improvement and strengthening of the profit structure. By 2030, the company aims for sales of 160 trillion KRW, an 84% increase from last year's results; operating profit of 16 trillion KRW, a 122% increase; and an operating profit margin of 10%. Last year, Kia's operating profit margin was 8.3%. To achieve these financial goals, investments will also increase. Approximately 32 trillion KRW will be invested over the next five years from this year to 2027, with the proportion of future business investments planned to expand to 45%.

Meanwhile, Kia has set this year's targets at 3.2 million units globally and 258,000 electric vehicles, aiming to achieve a 4% share of the global automobile market. Starting with the EV9 scheduled for release in the first half of this year, the company will launch the compact electric vehicle Ray in the third quarter. In the fourth quarter, two electric vehicles, including the strategic EV5 model, will be launched in China, along with the successor to the overseas strategic compact car Rio and five models with improved features.

Kia President Song Ho-sung said, "Kia will strengthen its brand identity by internalizing a customer- and brand-centric organizational culture to advance as a 'sustainable mobility solutions company,' which is our corporate vision. We will establish an innovation business model execution system to create customer-centric value."

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