(Yicai Global) Aug. 30 -- Yueda Kia, the Chinese joint venture of South Korean automaker Kia, will put more focus on global exports to alleviate the firm’s overcapacity problems, General Manager Ryu Chang-seung told Yicai Global at a recent industry event.

The JV has revamped its plant in Yancheng, eastern Jiangsu province and plans to export over 100,000 vehicles a year by 2026, said Ryu, adding that it will be gradually integrated into Kia's global management system, bringing the JV’s organizational structure, products, and technologies more in line with Kia Global. It also plans to set up 'City Stores' in over 200 core business zones that will be run by dealers, he said.

Yueda Kia, whose other parent is Jiangsu Yueda Group, unveiled the 2023 Kia Sportage, the fifth generation of one of Kia’s most popular crossover sport utility vehicles, at the 10-day Chengdu Motor Show, which ended five days ahead of schedule due to a flareup of Covid-19. From now on, the names of Kia models sold in China will be the same as elsewhere in the world, the company said.

The firm is overhauling the JV, formerly known as Dongfeng Yueda Kia, after founding partner Dongfeng Motor Group pulled out at the end of last year due to years of heavy losses. Sales have been on the slide since 2017.Last year, the JV shifted just 152,000 autos, a quarter of the number sold during the peak year of 2016.

Seoul-based Kia aims to sell 450,000 cars a year in China by 2030, three times its current annual turnover, and bring out more new energy vehicle models, Chief Executive Ho Sung Song said at a company event in March, as the firm reboots its China strategy despite the poor performance of its joint venture to date.

Kia plans to unveil two new EV models in China next year, out of the three that it is introducing worldwide, after which it will roll out at least three new or upgraded models a year in the country.

Editors: Liao Shumin, Kim Taylor