Kia to invest $200M in Georgia plant to produce EV9

A passerby looks at EV9 displayed at Kia EV Unplugged Ground exhibition center in Seongsu-dong, eastern Seoul. [NEWS1]

Kia will invest $200 million in its Georgia plant to start producing EV9 SUVs next year.

The three-row EV9 will be the first Kia electric vehicle assembled in the United States and the carmaker's fifth model after Telluride, Sorento and Sportage SUVs and the K5 mid-size sedan.

Production will start in the second quarter of 2024. The $200 million expansion will create nearly 200 additional jobs in Troup County, Kia said.

The EV9 is Korea's first three-row EV and Kia’s second all-electric vehicle developed using its E-GMP EV-dedicated platform after the EV6, which was introduced in 2021. Sales began in May in Korea, but U.S. and European drivers will have to wait until September at least.

The latest investment comes as an attempt to work around the Biden administration's Inflation Reduction Act, which allows up to $7,500 tax credit for EVs only assembled in North America.

Hyundai Motor and Kia do not for any of the credit — at least until 2025 — as they only produce EVs in Korea. Hyundai assembles the electrified GV70 at its Alabama plant but is exempt from the credit as the model uses China-made batteries.

The company is constructing an EV-dedicated factory in Georgia, where mass production is slated to begin in 2025.

“Like Telluride, EV9 could be another ‘game changer’ for Kia,” said Sean Yoon, CEO of Kia North America and Kia America. “This will be the most sophisticated vehicle we have ever built and will stand out in the EV market and on the road. Best of all, it will be assembled in West Point, Georgia.”

BY SARAH CHEA [chea.sarah@joongang.co.kr]