India is expected to contribute to the increase in Kia Corporation's production of electric vehicles (EVs) and hybrid electric vehicles (HEVs) by the end of this decade.

Other countries identified as key contributors include the United States, Europe, and South Korea.

Kia, a subsidiary of the Hyundai Motor Group, has set a global sales target of 4.19 million vehicles for 2030. Of this, EVs are to account for 1.26 million units, and HEVs are projected to contribute 1.07 million units.

The combined total of 2.33 million units indicates that EVs and HEVs will make up approximately 56% of the company's 2030 portfolio, with internal combustion engine (ICE) vehicles comprising the remaining 44% at 1.86 million units.

In India, EVs and HEVs are expected to account for 43% of Kia's projected annual sales of 400,000 units by 2030. This growth is expected to be based around the Syros model. Over the next five years, Kia's EV and HEV portfolio in India is projected to expand from its current level.

Carens and Syros to lead the Indian market push

In India, where EV sales are expected to increase in 2025, Kia will focus on the Carens EV and Syros EV, with a target of achieving an 18% EV mix by 2030.

This was outlined by senior company executives at the recent Kia CEO Investor Day in South Korea.

Kia aims to increase its presence in the EV and HEV segments in India by 2030, competing with companies such as Tata Motors, Mahindra & Mahindra, JSW MG Motor, and Hyundai.

Globally, the company plans to increase its HEV sales to 990,000 units by 2030. While the HEV mix will be maintained in Europe and South Korea, Kia intends to raise it to 39% in North America and 25% in India.

To support this growth, Kia plans to expand its powertrain production capacity. By the end of 2025, it aims to secure capacity for 680,000 units annually, with plans to increase this to 990,000 units over the longer term, allowing for flexible responses to market developments. The HEV portfolio will be expanded across small, medium, and large vehicle segments.

India market developments

Kia anticipates ongoing demand growth in the Indian automotive sector, supported by economic expansion. EV adoption is also expected to rise due to tightening environmental regulations.

The company aims to establish a 400,000-unit sales system in India by 2030 through the launch of multiple new models. It also plans to introduce technological features intended to appeal to younger consumers.

Kia has noted an increase in the number of highly educated, high-income consumers joining the brand. The proportion of Generation Y and Z customers - identified as key future demographics - is also growing, contributing to the potential customer base.

Globally, Kia's 2030 sales target of 4.19 million units represents an increase of 970,000 units over the 2025 goal of 3.22 million units. The company expects its global market share to rise from 3.7% to 4.5% by 2030.

Downward revision of previous target

The updated 2030 target is a downward revision of 110,000 units from the earlier figure of 4.3 million.

According to the company, this reflects a more conservative outlook on the Chinese market, where local EV manufacturers, including BYD, have seen rapid growth and increased competitiveness.

In developed markets such as North America, Europe, and South Korea, Kia targets sales of 2.46 million units, which would represent 59% of its global total. In emerging markets including India, the Middle East, and Asia-Pacific, the company is targeting sales of 1.73 million units.

In view of declining ICE vehicle demand, Kia will focus on expanding its HEV range while continuing to grow its EV offerings. In its four main markets, it aims to increase the EV mix by 2030 to 70% in North America, 86% in Europe, 73% in South Korea, and 43% in India.

ICE models will continue to be offered in the short- to medium-term to meet demand in emerging markets. The HEV lineup will be diversified from existing models such as the Seltos to larger vehicles including the Telluride. The EV portfolio will be expanded starting with the EV3, EV4, and EV5, followed by the EV2, which is intended to address affordability and support higher adoption.

New mobility initiatives

Starting with the PV5 in 2025, Kia plans to continue expanding its purpose-built vehicle (PBV) range, including entry into the pickup segment.

The company will also expand production capacity by adding 200,000 units through a new PBV plant in South Korea. In other regions, Kia will utilise existing facilities to support product availability and meet changing demand patterns.

Kia plans to increase its global EV market share from 2.3% in 2025 to 4.3% by 2030. It will continue expanding its EV range with models including the EV4, EV5, and EV2 to establish a more competitive volume portfolio.

To improve pricing competitiveness, Kia plans to revise its EV cost structure, including optimisation of hardware through interior and exterior design adjustments intended to deliver measurable value.

Software and after-sales strategy

Kia intends to standardise EV software using next-generation electrical/electronic (E/E) architecture and to develop its software capabilities. It is also working on next-generation batteries aimed at improving cost efficiency and performance.

The company will invest in expanding EV service centres and enhancing technician training. It also plans to offer remote diagnostics to improve service convenience.

Kia expects global automotive demand to grow by just 0.3% in 2025, reaching 84.6 million units, indicating a general market slowdown. The South Korean market is projected to grow modestly due to a low base effect, despite ongoing economic challenges.

The United States market is expected to see moderate growth, supported by consumer spending and labour market conditions. In Europe, more stringent emissions regulations may limit growth. India is expected to continue expanding due to stable economic conditions and consumer sentiment.

India forecast for 2025

Kia has set a retail sales target of 300,000 units in India for 2025, aiming for a 6.9% market share. This will be supported by the introduction of the Syros and a revised version of the Carens. To achieve these objectives, Kia plans to increase its dealership network, improve dealer training programmes, and enhance after-sales support.

The Chinese market is expected to experience low growth, despite government support and increased promotional activity from carmakers. Kia's 2025 targets include wholesale sales of 3.22 million units, retail sales of 3.17 million units, and a global market share of 3.7%.

The company has stated its intention to adapt to evolving market conditions and promote wider adoption of EVs. It also aims to diversify its business areas to support its strategic goals.