Kia Motors (Korean: 기아자동차, IPA: [ki.a]), headquartered in Seoul, is South Korea's second-largest automobile manufacturer, following the Hyundai Motor Company, with sales of over 1.4 million vehicles in 2010. The company is partly owned by the Hyundai Motor Group, the fourth largest automaker in the world based on annual vehicle sales in 2010 after Toyota, General Motors, and Volkswagen AG. Since August 2009, the company has been led by Hyoung-Keun (Hank) Lee.

 

History

According to Kia Motors, the name "Kia" derives from the Sino-Korean words ki ("to come out") and a (which stands for Asia), it is roughly translated as "arise or come up out of Asia" or "rising out of Asia".

 

Kia mixte frame bicycle

South Korea's oldest car company, Kia was founded on June 9, 1944 as a manufacturer of steel tubing and bicycle parts by hand – and has operated as one of the country's Chaebols since. In 1951 Kia began building complete bicycles. In 1952, Kia changed its name from Kyungsung Precision Industry, and later built motorcycles (starting in 1957), trucks (1962) and cars (1974). The company opened its first integrated automotive assembly plant in 1973, the Sohari Plant. Kia built the small Brisa range of cars until 1981, when production came to an end after the new military dictator Chun Doo-hwan enforced industry consolidation, meaning Kia had to give up passenger cars and focus entirely on light trucks.

 

Starting in 1986 (when a mere 26 cars were built, followed by over 95,000 the next year), Kia rejoined the automobile industry in partnership with Ford. Kia produced several Mazda-derived vehicles for both domestic sales in South Korea and for export into other countries. These models included the Kia Pride, based on the Mazda 121, and the Avella, which were sold in North America and Australasia as the Ford Festiva and Ford Aspire.
 

In 1992, Kia Motors America was incorporated in the United States. The first Kia-branded vehicles in the United States were sold from four dealerships in Portland, Oregon in February 1994.[citation needed] Since then, Kia expanded methodically one region at a time. Dealers in 1994 sold the Sephia, and a few years later the United States line expanded with the addition of the Sportage. By 1995, there existed over one hundred Kia dealerships across thirty states, selling a record 24,740 automobiles.

 

However, during the Asian financial crisis, Kia declared bankruptcy in 1997; in 1998 Hyundai Motor Company acquired 51% of the company outbidding Ford Motor Company which had owned an interest in Kia Motors since 1986. After subsequent divestments, Hyundai Motor Company owns less than 50% of the company.

 

Since 2005, Kia has focused on the European market and has identified design as its "core future growth engine"—leading to the hiring of Peter Schreyer in 2006 as Chief Design Officer and his subsequent creation of a new corporate grille known as the 'Tiger Nose'.

 

In October 2006, Kia Motors America broke ground for Kia Motors Manufacturing Georgia in West Point, Georgia, representing a $1 billion USD investment for the company. Kia Motors Manufacturing Georgia opened in February 2010, after Kia recorded its 15th consecutive year of increased U.S. market share.

 

Kia Motors America

Kia Motors America (KMA) is the American sales, marketing and distribution arm of Kia Motors Corporation based in Seoul, South Korea. KMA offers a complete line of vehicles through more than 640 dealers throughout the United States. For 2008, KMA recorded its 14th consecutive year of increased U.S. market share. In August 2009, Kia was the 8th-best selling automotive brand in the United States, outselling makes like Chrysler and Mazda.
 

In November 2009, Kia started production at the first U.S. Kia Motors plant, Kia Motors Manufacturing Georgia in West Point. The facility is building the 2011 Kia Sorento crossover vehicle and the 2012 Kia Optima sedan.