Kia announced its key targets to transform into Sustainable Mobility Solutions Provider. This corporate vision is supported by three key pillars – ‘people’, ‘planet’ and ‘profit’. It did this in presenting the roadmap to 2030 at the company’s 2022 CEO Investor Day virtual event.
Under these pillars, Kia will strive to enhance customer value and nurture talents, reduce carbon emissions in consideration for the environment, and generate profits while working as a responsible corporate citizen.
Kia also announced its four key business targets for 2030. These core business aims include: accelerating electrification and achieving annual sales of 1.2 million battery electric vehicle (BEV) units by 2030; reaching 4 million annual vehicle sales by 2030, including over 2 million eco-friendly models; expanding the application of connected car feature and autonomous driving technologies to all new vehicles; and become the number one brand in the global purpose-built vehicle (PBV) market by 2030.
Kia to establish a line-up of 14 BEV models by 2027. Indeed, starting in 2023, Kia plans to launch at least two BEVs per year. Compared to its previous plan to release 11 models by 2026, Kia will add two electric pickup trucks – a dedicated electric pickup truck and a strategic model for emerging markets – and an entry-level BEV model.
‘AutoMode’, Kia’s new autonomous driving technology, to be launched in 2023 with first application in EV9…
Kia’s range of autonomous driving technologies, branded ‘AutoMode’, will be rapidly expanded throughout the line-up starting with the EV9 in 2023.
Kia AutoMode supports performance optimization through wireless updates and will be improved as the technology develops. It will also include Highway Driving Pilot feature which would enable driving without driver intervention on highway sections. Kia aims to expand connected car features to all vehicle lineup by 2025
Aims to become No.1 global PBV brand by 2030···first dedicated PBV model in 2025.
Indeed, As a customer-centered company, Kia will provide flexible mobility services that reflect the diverse needs of people and businesses. A core part of Kia’s work in this area will focus on PBV. (Purpose Built Vehicle)
Kia is the one of the first movers in the global PBV market and plans to become a market leader. The demand for delivery and logistics services has increased significantly following the acceleration in e-commerce during the Covid-19 pandemic. In the mid-to long term, Kia will develop dedicated PBVs. The dedicated PBV will be developed as flexible structure that sits on a flat, skateboard EV platform, so that the size and shape can be adjusted according to the purpose and customer needs.
Kia will launch its first dedicated model in 2025 when the PBV market is expected to mature. The first dedicated PBV will be similar in size to a medium-sized vehicle, with inherent scalability.
Company announces financial targets for 2026···gross revenue of KRW 120 trillion; operating profit margin of 8.3%
The company plans to garner 39 percent of operating profit from BEVs in 2026 with the reduction of fixed costs through volume expansion and cost reduction from technology development.
Furthermore, Kia expects that by 2026, the contribution to operating profit from all eco-friendly models will reach 52 percent, exceeding that of internal combustion engine models.
To achieve these goals, Kia will not only expand sales of its eco-friendly models but also greatly improve profitability, securing additional sales and profit structures due to the commercialization of new businesses and technologies.
Kia will also actively participate in Hyundai Motor Group’s next-generation projects, such as Advanced Aviation Mobility (AAM), robotics. Specifically, Kia plans to focus on creating synergy between the Group’s AAM efforts and its own PBV business.
We keep you posted further on Kia soon as next week we will test the Kia EV6!
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