Kia Motors, a subsidiary of Hyundai Kia Automotive Group, is South Korea's 2nd largest
automobile manufacturer with headquarters in Seoul, South Korea. Its CEO is Chung Eui-sun.
The American arm is Kia Motors America. On October 20, 2006, Kia Motors America formally
hosted a groundbreaking ceremony for its first US assembly plant in West Point, Georgia,
at an initial cost of over $1 billion. Since 2005, Kia has started to focus on the European
market and is currently the UK's fastest growing car company and had various other successes
in the European market.
According to Kia Motors, the name "Kia" derives from the sino-Korean word ki which means
to come out and the sino-Korean word a which stands for Asia. So Kia is roughly translated
as arise or come up out of Asia or Rising out of Asia.
South Korea's oldest car company, Kia was founded in 1944 as manufacturer of steel tubing
and bicycles. In 1952, Kia changed its name from Kyungsung Precision Industry, and later
built motorcycles, trucks and cars. Starting in 1986, in partnership with Ford, Kia produced
several Mazda derived vehicles for both domestic sales in Korea and exports into other
countries. These models include the Pride (based on the Mazda 121) and 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. 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.
However, Kia's bankruptcy in 1997, part of the Asian financial crisis, resulted in the
company being acquired in 1998 by South Korean rival Hyundai Motor Company, outbidding
Ford Motor Company which had owned an interest in Kia Motors since 1986.