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Kia negotiating to build $1.5B auto plant in Mexico

After a string of recent announcements from automakers, Kia may be the next business to break ground on a factory south of the border. The Korean company is reportedly nearly finished with negotiations to build a $1.5-billion plant near the city of Monterrey in the Mexican state of Nuevo Leon. The state's secretary of economic development confirmed the news to Reuters and anticipated talks to be completed in the first two weeks of August. Unnamed insiders also said that the location was aiming for an annual production capacity of 300,000 vehicles.
Rumors from a month ago first suggested the possibility of the new factory. It would reportedly build two models of small cars, and assembly could potentially begin as soon as 21 months after breaking ground. Currently, Kia only has one North American plant, in Georgia, that builds the Sorento and Optima.
In the last few years, Mexico has become of hotbed of North American automobile production. Mazda, Honda and Volkswagen all recently opened new or expanded factories to build cars there. There are even more on the way with a joint venture plant from Mercedes-Benz and Infiniti and BMW's announcement of its own $1 billion undertaking in Mexico.

Kia Stonic not coming to America

Related: We obsessively covered the Frankfurt Motor Show — here's our complete coverage FRANKFURT, Germany — At this year's Frankfurt auto show, Kia showed off its new Stonic subcompact crossover, the Stonic. It features all of the hallmarks of the typical affordable little crossover. It has lots of customizability in the form of many two-tone paint options. It has chunky, lifted looks with plastic cladding. It also comes with class-competitive engines making 147 and 175 horsepower. It's also based on the same platform as the compelling little Kia Rio. It seems like a shoo-in for the American market, but when it goes on sale in Europe this year, it won't be doing the same on our shores. This was confirmed by a Kia representative. His official statement was that there are no current plans for selling it in the U.S. Considering how hot the crossover market is right now, even attracting corporate cousin Hyundai with its Kona, it seems surprising Kia wouldn't be interested in fielding its own take on the segment. Perhaps Kia has concerns about it cannibalizing sales of the highly successful Soul and the all-new Rio. We wouldn't count on the Stonic staying away from the States forever, though. All that was said was the Stonic isn't planned for the U.S. That's not an outright "no, it will not come here, period." It could just be that Kia isn't ready to announce the car's introduction here, or perhaps it's still gauging interest. Maybe Kia has other small crossover-esque plans, after all, as successful and competitive as the Soul has been, it's starting to age a bit. Related Video: This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings.

2021 Kia Optima revealed in K5 form for South Korea

Less than a week after teaser drawings were released, the 2021 Kia Optima midsize sedan has been revealed in the form of the South Korean-market K5. The overall design matches the renderings closely, giving the car a more aggressive look, but it is still clearly an Optima. The company hasn't revealed the car's interior and mechanical specs, though. The front of the new Optima is more blunt with a grille that leans forward almost like that of a Dodge Charger. The headlights blend into the grille, and it has parts that trail off into the fenders. The grille has a three-dimensional mesh that Kia says was inspired by the rough texture of shark skin. The sides of the car feature modest curves to give it a muscular look. The greenhouse has a similar shape to that of the current car, with fastback rear pillars and tall rear quarter windows. Chrome bars trace the roof rails to the base of the rear pillars like on the current car, but now they meet in a curve around the top of the trunk lid. At the back is the most significant departure from the current car, a full-width taillight bar. With the car revealed in South Korea, it probably won't be long before we see the American-market car revealed. Under the skin will probably be the same powertrains as those in the new Hyundai Sonata. That means a choice of either a naturally aspirated 2.5-liter four-cylinder engine making 191 horsepower or a turbocharged 1.6-liter four-cylinder making 180 horsepower. Both will be coupled to an eight-speed automatic. Expect hybrid variants and possibly a more powerful turbo 2.0-liter engine coming down the road.