Kia, celebrating its 80th anniversary this year, has achieved its largest export performance since its founding and has won the ‘Export Tower’ for two consecutive years. On the 5th, the Korea International Trade Association and the Ministry of Trade, Industry and Energy announced that they have selected companies to receive the Export Tower and individuals to be awarded government recognition in celebration of the ’61st Trade Day’, encouraging the trade industry which achieved export growth for 14 consecutive months despite uncertain external conditions.
The Ministry of Trade, Industry, and Energy, along with the Korea International Trade Association, awards the ‘Export Tower’ when a single corporation sets a new record by surpassing a specific export milestone. Kia received the Export Tower for achieving 25 billion dollars in exports, marking it first place in total export value among the 1,540 companies recognized this year.
Kia, which won the 20 billion dollar Export Tower last year due to efforts such as new car releases and expanded supply chains, has now been awarded for achieving 25 billion dollars this year. According to the trade association’s data, from July 1, 2023, to June 30, 2024, Kia’s export performance reached 25.6 billion dollars, a 9.0% increase compared to the same period last year (23.5 billion dollars), setting the record for the largest export performance for two consecutive years.
At the commemoration ceremony on this day, Kia Vice President Yoon Seung-kyu was awarded the ‘Gold Tower Order of Industrial Service Merit’ in recognition of his contributions to expanding exports and sales. Yoon Seung-kyu has been evaluated as achieving remarkable results since 2018 while serving as the head of the Kia North American region, overseeing local sales and production.
Despite the deteriorating business environment, such as ongoing global geopolitical risks, the spread of domestic priority policies, and intensified competition among automakers, Kia has expanded exports through efforts including the release of competitive electric vehicle models for a balanced lineup, operating a high-value sales mix with SUV and hybrid (HEV) models, and developing new and emerging markets.
In 2019, SUVs accounted for 62% of Kia’s exports, but by last year, this percentage had increased to 78%, marking a 16 percentage point rise over four years. This resulted from continual improvements in the sales mix centered around globally competitive SUVs like the Sportage and Sorento.
Additionally, Kia has responded timely to the increasing global demand for HEVs, contributing to the rise in exports. In 2023, Kia exported 124,005 HEVs, a 25.4% increase from the previous year’s 98,877 units, enabled by a flexible supply system.
Furthermore, electric vehicles are playing a significant role in Kia’s export growth. Kia’s electric vehicle exports have increased more than sevenfold, from 24,766 units in 2019 to 178,412 units in 2023. Kia is actively working to expand its domestic electric vehicle production capacity to further increase exports.
During the awarding ceremony, President Song Ho-sung expressed his pleasure in winning the Export Tower again this year, stating, “I am very pleased to win the Export Tower again this year through continued efforts to strengthen global brand competitiveness despite difficult business environments. We will continue to do our best to achieve sustainable growth.”