Frankfurt, 19 October 2017 – A new report published by leading independent European economic consultancy, London Economics, has confirmed the considerable contribution made by Kia Motors Europe to the European economy.
The new report, entitled The economic and societal benefits deriving from the presence of Kia in Europe, has established that 184,386 people owe their jobs to the presence of the brand in Europe, employed directly by Kia or indirectly through the supply chain and sales and distribution.
Including customs duties, sales and income taxes, Kia contributed €1.2 billion in taxes to European governments during 2016, further supporting the region’s economies. This figure has increased by almost 39% over 2013, when Kia paid €865 million in European taxes.
The London Economics report found that Kia generates output across European economies worth €7.6 billion. This figure is derived from the ‘gross value added’ (GVA) of Kia’s European operations, taking account of an economic entity’s contribution to gross domestic product and representing the value of the goods and services produced by the company net of input costs.
Kia’s manufacturing facility in Žilina, Slovakia provides direct employment to over 3,800 full-time staff. Last year Kia’s European manufacturing operation purchased supplies worth €5.2 billion – €3.8 billion of which (73 percent) are sourced from within Europe. The plant is receiving a €130 million ongoing investment from Kia in 2017 to prepare the production line for new models.
Michael Cole, Chief Operating Officer of Kia Motors Europe, commented: “Kia has made a multi-billion investment in Europe, and this is benefiting our customers, employees and communities across the continent. The report recognises the scale of our overall contribution to the European economy, and our commitment to product development and manufacturing ensures these benefits will grow further.”
During 2016 Kia sold 435,316 units in the European Union, up 12.7% compared to 2015 and equating to a 2.9% market share. During the first half of 2017 Kia sold 251,472 units across Europe, a 9.5% rise, year-on-year – pushing Kia’s cumulative market share up to 3.0%.