Kia Corporation has opened the Kia Gwangmyeong EVO Plant, which is Hyundai Motor Group’s first dedicated EV manufacturing facility globally.

Located at Kia Autoland Gwangmyeong, the new facility has an annual production capacity of 150,000 units and started production of the Kia EV3 in the first half of this year, to be followed by the EV4 in the first half of 2025.

In his welcome address, Jun Young Choi, Executive Vice-President and Head of Domestic Production Division, Kia said, “The completion of the Kia Gwangmyeong EVO Plant solidifies Kia’s first step as an EV leader following the company’s brand relaunch in 2021. With the goal of providing sustainable mobility solutions, we will lead innovation in the EV market and fulfil our responsibilities in helping to deliver a sustainable future.” 

Seung Won Park, Mayor of Gwangmyeong City added, “The completion of the Kia Gwangmyeong EVO Plant will help Gwangmyeong City to establish itself at the centre of the EV industry in Korea. Through this we will strive to promote sustainable development of the local economy and create more jobs."

The Gwangmyeong EVO Plant is a dedicated EV facility, with an investment total of KRW 401.6 billion (USD 304.2 million) over approximately 60,000 square meters and will serve as an outpost for production of Kia’s popular EV models.

The Korean automaker states it spent approximately one year transforming Gwangmyeong Plant 2, which was completed in 1987 to produce small internal combustion engine vehicles such as the Kia Pride, Avella and Stonic. The Kia Gwangmyeong EVO Plant is also meaningful in that it is the Group’s first dedicated EV plant and a facility that has been completely rebuilt on an existing plant site to become a hub for next-generation vehicle production.

The plant has been constructed with a full-scale conversion to electrification in mind, focusing on ‘eco-friendly’ and ‘worker-friendly’ processes.

The body shop is now a high-tech logistics factory thanks to the introduction of automated guided (AGV) forklifts, and the green credentials of the paint shop have been increased by applying the water-based 3C1B method instead of the previous oil-based 3C2B method. New equipment has also been introduced to improve wellbeing and reduce the workload of plant employees, including machinery which can automatically install high-voltage batteries, wheels and tires on the vehicles.

Following the completion ceremony of the Gwangmyeong EVO Plant, Kia will ramp up EV production. Mass production of the EV3, a compact all-electric SUV, began in the first half of this year. The EV3 is Kia's third dedicated EV model after the Kia EV6, the all-electric crossover SUV launched in 2021, and the Kia EV9 all-electric flagship SUV launched in 2023.

In the first half of 2025, Kia plans to introduce the EV4, the brand’s mid-sized electric sedan.

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MIC Electronics Limited has secured Letters of Acceptance (LoAs) from Eastern Railway, Howrah Division, for projects valued at approximately INR 44.5 million. 

The orders have been awarded under two separate competitive tenders and further strengthen the company’s position in India’s railway digital infrastructure ecosystem.

They involve design, supply, installation, testing, and commissioning of advanced Passenger Information and Communication Systems (PIS) across multiple railway stations in the Howrah Division. The scope of work includes the deployment of state-of-the-art railway information display systems and allied infrastructure, in line with Eastern Railway’s stringent technical, safety, and quality specifications. The projects are scheduled to be completed within six months from the date of issuance of the LoAs.

The development reinforces MIC Electronics’ strong execution capabilities in large-scale railway projects and its growing role in Indian Railways’ digital modernisation initiatives, said Rakshit Mathur, CEO, MIC Electronics Limited.

MIC Electronics specialises in the design, manufacture and implementation of Passenger Information Systems (PIS), railway display solutions, public address and communication systems, LED display and digital infrastructure solutions, and electronic and telecom infrastructure.

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The Automotive Component Manufacturers Association of India (ACMA) and Boston Consulting Group (BCG) have released a joint study titled ‘Bolts, Bytes and Bots: Reimagining Next-Gen Auto Component Manufacturing in India’. The report examines the impact of digitalisation, automation and analytics on the sector.

The Indian auto component industry grew at a CAGR of 14 percent between FY2020 and FY2025, reaching a value of USD 80 billion. During this period, exports increased 1.5 times to approximately USD 23 billion. The sector is now targeting USD 100 billion in exports by FY2030.

The study indicates that over two-thirds of surveyed companies are in the pilot, scale-up, or fully integrated stages of implementing smart factory initiatives. Nearly 60 percent of these firms report benefits in productivity, quality, asset utilisation and issue resolution.

1. Shift from basic connectivity to advanced analytics and AI-based maintenance.
2. Use of digital twins and automated systems to manage volume and complexity.
3. Focus on operations and quality as primary areas for digital intervention.
4. Move towards interconnected digital stacks rather than isolated solutions.

Digital readiness is becoming a requirement for global OEM sourcing. International partners increasingly expect high standards in traceability, audit readiness and quality control. The report finds that companies with scaled deployments are twice as likely to experience a significant business impact compared to those in the pilot phase.

Vikrampati Singhania, President, ACMA, said, “The findings clearly indicate that Smart Factory initiatives are moving from experimentation to execution across the sector. The next phase must focus on scaling these efforts across plants and the supplier ecosystem. This will require shared platforms, deeper partnerships and coordinated ecosystem development, where industry bodies like ACMA can play a catalytic role.”

Vinnie Mehta, Director General, ACMA, added, “What stands out is the structural shift in how digitalisation is being viewed no longer as a discretionary investment, but as a long-term lever for competitiveness. As the industry balances export growth, coexistence of multiple-powertrains and workforce challenges, smart manufacturing offers a practical pathway to improve reliability, productivity and quality using existing assets.”

Vikram Janakiraman, Managing Director and Senior Partner, BCG, noted, “India’s auto component sector has led the charge on localisation and import substitution over many years, building deep manufacturing capability and scale. Today, as growth accelerates across domestic and export markets, the challenge is managing both volume and complexity. It is promising to see that the sector has made a start by adopting Smart Factory initiatives, with Indian companies already realising significant OEE improvements, quality gains, and better throughput from existing assets.”

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European auto major Stellantis and Tata Motors Passenger Vehicles (TMPV) have marked the 20th anniversary of their 50:50 joint venture, Fiat India Automobiles (FIAPL) and signed a Memorandum of Understanding (MoU) to explore further opportunities in manufacturing, engineering and supply chain operations within India and international markets.

Since its inception, the partnership has produced more than 1.37 million vehicles. The joint venture currently employs approximately 5,000 people and maintains a production capacity of 222,000 vehicles per year.

The FIAPL plant currently manufactures four Jeep models for Stellantis and three passenger vehicle models for Tata Motors. The facility has established operations across vehicle assembly, powertrain production and supply chain management.

Gregoire Olivier, Chief Operating Officer, Stellantis Asia Pacific, said, “FIAPL stands as a testament to what two strong organisations can achieve together. As we commemorate this milestone, we remain focused on evolving the partnership to support future-ready manufacturing, innovation and sustainable growth in the region.”

Shailesh Chandra, Managing Director & CEO, Tata Motors Passenger Vehicles, added, “Our partnership with Stellantis through FIAPL reflects the strength of a long-standing collaboration built on trust, shared values and a common vision. We look forward to deepening this relationship with Stellantis in the years ahead.”

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Tata Motors Passenger Vehicles (TMPV) and its subsidiary Jaguar Land Rover (JLR) have begun operations at a new manufacturing facility in Panapakkam, Ranipet district. The plant is a greenfield development designed to produce internal combustion engine (ICE) vehicles and electric vehicles (EVs) for both brands.

The first vehicle produced at the site is the locally manufactured Range Rover Evoque. The project represents an investment of INR 90 billion and is expected to create 5,000 direct jobs.

The facility covers 470 acres and marks the first phase of a larger manufacturing hub. It is designed to reach an annual production capacity of 250,000 vehicles over the next five to seven years. The site is intended to serve both domestic and international markets, utilising its proximity to Tamil Nadu's ports for exports.

Key Plant Features:

• Sustainability: Guided by carbon-neutral principles, the plant intends to operate on 100 percent renewable energy.
• Manufacturing Scope: Includes assembly for next-generation passenger cars and luxury SUVs.
• Workforce: Focuses on local recruitment and aims for a high share of women employees across levels.

The opening of the Panapakkam plant signals a shift for JLR's Indian operations. The company intends to migrate Completely Knocked Down (CKD) assembly for several models from its Pune facility to this new hub in southern India. This move is designed to enhance operational efficiency and capture increasing demand in the luxury vehicle segment.

M K Stalin, Chief Minister of Tamil Nadu, said, “Tata Group has long played a pivotal role in nation building and shares a deep, historic partnership with Tamil Nadu. With the commencement of operations at this new manufacturing facility and the rollout of the first Range Rover Evoque in Panapakkam, Ranipet, the state is proud to witness the expansion of world-class automotive manufacturing. Tamil Nadu welcomes this significant milestone and remains committed to supporting industries that create jobs, drive innovation, and reinforce our position as India’s leading hub for manufacturing and mobility.”

N Chandrasekaran, Chairman, Tata Sons and TMPV, added, “The inauguration of our Panapakkam facility marks a significant milestone in the Tata Group’s journey to accelerate India’s leadership in sustainable and future-ready manufacturing. We are also proud to deepen our long-standing partnership with Tamil Nadu, a state that continues to drive industrial excellence, innovation, and inclusive growth. With this facility, we look forward to producing vehicles of exceptional quality, craftsmanship, and technology for customers in India and around the world.”

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