The start of EV3 production in Mexico marks a milestone for Kia. The company announced the investment package on Wednesday at the National Palace during President Claudia Sheinbaum’s daily press conference, attended by Economy Minister Marcelo Ebrard and Kia México’s leadership team. Until now, the EV3 had been built exclusively in South Korea. Mexico now becomes the model’s second production location.

Kia is not building a new factory for the EV3. Instead, the company is adapting its existing production line, allowing the model to be built at the current facility. Kia México President Horacio Chávez said this approach avoids the need for a new plant. For an automotive group navigating tariffs, ongoing negotiations over the North American trade agreement and fluctuating demand, integrating a battery-electric model into an existing production line is also the more capital-efficient option. Kia expects to create 500 additional jobs this year and a further 1,500 by 2030.

Kia describes the move as a first for the company. According to Horacio Chávez, it will mark the first time Kia both manufactures and sells a battery-electric vehicle in Mexico. However, the claim requires context. Ford has been producing the electric Mustang Mach-E at its Cuautitlán plant for several years. Kia’s distinction is that it plans to sell a locally built electric vehicle in significant volumes on the Mexican market. President Claudia Sheinbaum said a substantial share of production will remain in Mexico to support the government’s efforts to accelerate electric vehicle adoption, while the remaining vehicles will be exported from the Pesquería plant to other regional markets.