Gwangju Automotive Industry, a Strong Pillar of the Regional Economy

566,000 Units Produced Last Year, Second-Highest in History
513,000 at Kia Autoland, 53,000 at GGM
City to Provide Tailored Support for Advanced Future Vehicle Parts

Kang Kijeong, mayor of Gwangju, is smiling brightly after test driving the first Casper electric vehicle (EV) purchased by Woo Wonsik, Speaker of the National Assembly, at the Casper EV exhibition hall set up in front of the National Assembly Members' Office Building in Yeouido, Seoul, on September 3 last year. Photo by Gwangju City

The automobile production volume in Gwangju reached 566,000 units last year, marking the second-highest production in history and serving as a solid pillar for the local economy.

This achievement comes despite a decline in domestic sales due to sluggish local demand, as Gwangju's main models?Sportage, Seltos, and Casper (EV)?have received positive evaluations in both domestic and overseas markets, suggesting that production volumes are expected to continue increasing.

According to Gwangju City on the 14th, Kia Autoland Gwangju produced 513,000 units last year (181,000 for the domestic market and 332,000 for export), while Gwangju Global Motors (GGM) produced 53,000 units (43,000 for the domestic market and 10,000 for export), totaling 566,000 vehicles.

This is the second-highest production volume following the record 586,000 units produced in 2023. The decrease is attributed to weakened consumer sentiment due to economic downturns and production disruptions caused by strikes at Kia Autoland Gwangju’s parts affiliates.

With growing uncertainties in both domestic and global economies this year, and with continued consumer sentiment contraction due to high inflation and high interest rates, automobile production is expected to decrease slightly. However, the city anticipates an increase in production this year, as Gwangju’s main models?Sportage, Seltos, and Casper (EV)?continue to receive favorable reviews in both domestic and global markets.

In particular, the export region for the Casper (EV) produced by GGM has expanded to 64 countries, and production is planned to increase by 3,800 units (7%) compared to the previous year, reaching approximately 56,800 units. Kia Autoland Gwangju is also expected to increase its production volume this year with the launch of new models.

Maintaining a steady production volume at Gwangju’s automobile manufacturing plants is expected to boost sales for local auto parts companies and create new jobs, thereby revitalizing the local economy.

The city plans to not only support automobile manufacturing plants but also enhance the manufacturing capabilities of local parts companies by newly establishing advanced equipment for core future vehicle components. In addition, the city will continue to provide tailored policy support for prototype production, EV parts development, testing, evaluation, and certification as needed by companies.

Lee Sanggap, Director of the Culture and Economy Bureau, stated, “Even as the automotive industry rapidly transitions to the era of future vehicles, such as electric vehicles, Gwangju’s automotive companies continue to be a strong pillar for revitalizing the local economy and creating jobs. This year as well, we will do our utmost to make Gwangju a warmer city for people’s livelihoods by focusing on nurturing new future mobility industries.”

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