Comments on: Damn The Cratering Market, Kia’s Going Ahead With American Plant Plans

By: John B

John B — Thu, 04 Dec 2008 21:07:48 +0000

Just slightly off topic but Toyota opened it’s new Woodstock, Ontario plant today.
http://cnews.canoe.ca/CNEWS/Canada/2008/12/04/7629541-cp.html

By: Corvair

Corvair — Thu, 04 Dec 2008 05:01:07 +0000

I recall when one of the Korean mfg’s (either Kia or Huyndai, I think) had their quality problems, the CEO told his engineers simply: “We are going to warrant our cars for 100 K miles. Figure out how to make cars that meet this warranty”. The Japanese did it, the Koreans did it, and I have no doubt that the Chinese will get to that point a lot faster than people believe.

By: gogogodzilla

gogogodzilla — Thu, 04 Dec 2008 04:02:28 +0000

There is two good reasons I can think of off the top of my head as to why Kia would do this.

1. The US economy should start to pull out of the recession before the plant is completed.

2. Korean auto unions are *FAR* more aggressive and strike-prone compared to the US non-union workforce. The more autos Kia can make here = less clout the Korean auto-unions have in their demands. (Korean unions tend to strike on a yearly basis. So much so… that colloquially, South Koreans refer to it as the ’strike season’.)

By: JSForbes

JSForbes — Thu, 04 Dec 2008 03:17:11 +0000

Georgia: The Just as Good as Slovakia State

By: jerry weber

jerry weber — Thu, 04 Dec 2008 03:10:36 +0000

If people could only remember the depths from which KIA (killed in action)has climbled out of in the last 10 years. Kia in America said: small, cheap, unreliable, non-stylish, and not long for the American market. When these things were said to GM about the corvair and vega, they quit, ibid for the Ford pinto. Kia which was combined with Huyndai, buckled down and made a full range of reliable desirable cars in 10 short years. They have risen from way behind the Detroit three to up with many of the Japanese brands. The difference between Kia and the American mfgs. was tenacity and the patience to fix things a little at a time. Remember this was back ten years ago when many of their cars sold for less than 10K and were all imported. Yes, with their second plant set to open next year (Huyndai is already here), the Koreans are set to scavange up more business from both the Americans and Japanese. Do the American mfgs. have 10 or even 5 years to get their act together?

By: RedStapler

RedStapler — Thu, 04 Dec 2008 02:44:47 +0000

A good move. The worst of the recession will be over in 2-3 years when the plant is going full steam. The cheap and cheerful cars Kia offers fit with the new frugal zeitgeist.

If GM & Chrysler die or even if they are able to successfully reorganize themselves via Ch11 there is still a good 15-20% of the market in play.

By: derm81

derm81 — Thu, 04 Dec 2008 01:56:26 +0000

Thank you for investing in the local economy of West Point, GA. Thank you for investing in America. Thank you for investing and believing in the American work force

Thank you for locating your Technical Center near Ann Arbor. It is good to know that the R/D and brainpower will remain strong in Michigan.

By: luscious

luscious — Thu, 04 Dec 2008 01:35:46 +0000

Kia, and parent company Hyundai,

Thank you for investing in the local economy of West Point, GA. Thank you for investing in America. Thank you for investing and believing in the American work force.

Thank you for your long-term focus and belief in America.

You see, Hyundai/Kia, the local “home” team does not endorse such beliefs. No, it’s all about GREED.

Greed is their downfall…GM, Ford, and Chrysler…every last one of them. From “Management” on down.

Please don’t make the same mistakes as GM, Ford, and Chrysler…with easy money based upon junk pickups and SUVs. Please adhere to Research and Development for a better and brighter future.

As long as you are moving forward, and not “selling out”, you will do just FINE.

Keep up the good work!!!

By: eh_political

eh_political — Thu, 04 Dec 2008 01:11:40 +0000

This is good basic strategy. If any country of origin has a target on it’s back it’s Korea.