Kia Motors Withdraws Operations From India

By By: Vicky.in

Published: Wednesday, March 9, 2011, 14:08 [IST]

Having assessed the incapable potential for its vehicles in the Indian market, the Korean sibling of Hyundai, Kia Motors is withdrawing its entry plan. Kia Motors after withdrawing it's plans from India are planning to expand its operations in China, the US and Europe. Kia Motors has its own manufacturing feasibility in the US field. The company spokesperson said the company had its hands full making the necessary move to focus on the existing markets.

The aim of Kia Motors was to make 1 million cars in 2011 globally, he added. Kia Motors Indian operation would be kept on watch and the entry would be made at the right time, he said further. Kia is better known as the popular brand in sports version cars and after establishing a solid base globally the company aimed to enter into the Indian market. The company quite annoyed with it's inability to make a mark in India as it had planned in India entry based on the good market of Hyundai.

During the period April-January Hyundai posted a rise of 17% sale with 2.95 units. The company has arrived at this decision after a feasibility study mooted by Synovate consultants. The report indicated a positive sign but the platforms from Kia - Picanto hatchback and Cerato sedan- have to vie against the larger volume in these segments. Above all Kia is aiming for higher margins as evolved in the US, China and Europe with the comprised 80% volume of the world"s potential.

Article Published On: Wednesday, March 9, 2011, 13:45 [IST]

Read more on: #automobile #hyundai motors #new car

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