The Nissan Motor Co., Ltd. would be going ahead with its plans on building a new manufacturing plant in Russia, specifically in St. Petersburg. In fact, as part of this plan on building this plant, the company has already gone ahead and signed an agreement with the country's Ministry of Economic Development and Trade of the Russia Federation which is more known as the MEDT.
The agreement is known as the Decree 166. Those who signed on this agreement included Herman Gref who is the Minister of Economic Development and Trade of the Russian Federation. On Nissan's end, it was Nissan's president and CEO, Carlos Ghosn, who signed. Apart from the said decree, Nissan still had to sign a Memorandum of Understanding with the St. Petersburg Government. Ghosn signed on this memorandum along with Valentina Matvienko who is the governor of St. Petersburg.
This new assembly and manufacturing plant that will be built in St. Petersburg, Russia would cost the company a whopping $200 million. The company foresees that come the year 2009, this plant would be functional and fully operational. Plans also include that this plant would be able to create more jobs for many people. There would be around 750 people to be employed. Production of the plant would also take up to 50,000 units per year. Nissan cars that are specially targeted for the Russian automobile market would be among the list of cars that would be manufactured in this plant.
According to Ghosn, "In signing this agreement, Nissan is committing to contribute significantly to the development of the Russian car market. Through the creation of new employment and investment in the local community, Nissan is making a confident statement about its operations in Russia. We look forward to a long and mutually-beneficial relationship with the people of St. Petersburg."
Manufacturing Plant In India
In an announcement made on March 2006, Kia Motors Corporation, the maker of Kia cars, announced official plans to build a $1.2 billion assembly and manufacturing plant in the United States. The location has been confirmed as West Point, Georgia and will serve as Kia's first manufacturing plant in America. The first Kia cars to roll off of the assembly line are said to begin production in 2009.
When operated at it's maximum capacity, the new Kia cars facility is expected to create approximately 300,000 brand new automobiles every year. In addition, this new construction will provide an additional 2,500 jobs and will be situated on 2,200 acres.
According to president and CEO of Kia Motors America J.H. Lee, "The decision by Kia Motors Corporation to build a manufacturing plant in the United States demonstrates their confidence in our ability to further grow sales in the North American market." He added, "The plant is an important development to support our sales goals over the next decade."
A dedicated Kia cars corporate campus is currently under construction in Irvine, California. With an anticipated opening date of December 2006, this new facility will feature a 65,000 square-foot design center. Over the past four years, Kia Motors has invested over $300 million in America. Among the results are a state-of-the-art research and development center located in Michigan, along with a custom-built vehicle facility in California.
Since debuting in the American market, Kia cars has expanded to a complete product line of vehicles and have watched their company thrive during the 12 years of consecutive sales records, which continue to this day.
Kia Motors Corporation, the maker of Kia cars, is headquartered in South Korea. However, through the development of Kia Motors America, Kia is able to offer a complete line of automobiles, including Kia cars, through well over 600 United States car dealerships. Said to be one of the fastest growing automakers in the world, Kia was founded in 1944 making it Korea's oldest manufacturer of motor vehicles. Through the company's latest release featuring hybrid technology, Kia hopes to become one of the world's premier automotive brands. With assembly and manufacturing operations in seven countries, Kia produces over 1.1 million vehicles each year, which are then sold through a network of dealers and distributors throughout 160 countries. With more than 32,000 employees and annual revenues topping $15 billion, Kia has found sponsorship to be an important part of it's success. As a major sponsor to both the Australian Tennis Open and FIFA, the Kia Motors Corporation is planning even more changes in the years to come.
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