ATLANTA — Kia will invest $200 million in its Georgia factory to begin producing an electric-powered SUV, the company announced Wednesday.
Gov. Kemp made the announcement in a press release on Wednesday.
In addition, the South Korean company said it would hire an additional 200 workers to begin producing its large EV9 vehicle in West Point early next year.
Over 40% of Kia vehicles sold in the U.S. are currently manufactured in West Point.
The money and jobs will go towards assembling Kia’s new all-electric 2024 EV9 three-row SUV, according to the governor's office.
"Georgia’s longstanding partnership with Kia has led to generational job creation and growth for the West Point area. This project will both bring more opportunity to hardworking Georgians and help propel the state toward our goal of becoming the e-mobility capital," said Gov. Kemp.
Hyundai Motor Group, Kia's parent, is pushing hard into electric vehicles. Hyundai is sprinting to complete a $5.5 billion plant to assemble electric vehicles and batteries in Ellabell, Georgia, near Savannah. The company also invested $300 million in its Montgomery, Alabama plant to begin making electric vehicles there, starting with the Genesis Electrified GV70 SUV. Hyundai also 200 hired additional workers for that Alabama investment.
The EV9 will become the fifth model to be assembled in at the plant, joining the Telluride, Sorento and Sportage SUVs, and the K5 mid-size sedan.
”“This will be the most innovative vehicle that we have ever built and will be a standout in the EV market and on the road," said Sean Yoon, President & CEO, Kia Motors North America and Kia Motors America.
Kia's investment comes even as Kemp and Hyundai complain that federal electric vehicle tax credits are unfair to the South Korean manufacturer because its vehicles are only eligible if they are leased.
The Inflation Reduction Act makes tax incentives on electric vehicle purchases only when the vehicle and its parts are made in the U.S.
Hyundai has also announced it will partner in a battery factory in Cartersville, northwest of Atlanta.
Since its opening in 2009, Kia Georgia has created more than 14,000 plant and supplier jobs in the region, and Kia has invested more than $1.9 billion in the state, according to the governor’s office.
“Since Georgia recruited Kia in 2006 to create long-lasting opportunities for West Georgia, Kia has exceeded expectations as a partner by giving back to its adopted community,” said Georgia Department of Economic Development Commissioner Pat Wilson. “With EV9 now joining Georgia’s growing electrified lineup, we want to thank and congratulate Kia, our partners in West Point, and countless other state and local agencies working with us to meet the needs of today and tomorrow’s leading industries in ways only Georgia can.”
Georgia will pay to train workers for the Kia expansion. The company says on its website that production workers start with a salary of $38,000 a year, with pay raises and extra pay for working evening shifts.
The company got more than $450 million in incentives for its plant in West Point, which opened in 2010.
Kia had 2,700 employees at it's Georgia plant in 2021.
The Associated Press contributed to this report.