Stellantis Malaysia will serve as Kia’s contract assembler at the Stellantis plant in Gurun, Kedah.
KIA MALAYSIA has signed an agreement with Stellantis Malaysia for the Korean brand’s upcoming local assembly (CKD) operations in Malaysia.
Under the partnership, Stellantis Malaysia will serve as Kia’s contract assembler at the Stellantis plant in Gurun, Kedah. Production of Kia models at the facility is scheduled to begin in the third quarter of 2026.
According to Kia Malaysia, the Gurun plant is equipped to support the production of current Kia models such as the Sportage and Carnival, as well as future models from the brand. Previously, during Kia’s time under Bermaz, local assembly of models such as the Carnival and Sportage was carried out at the Inokom plant in Kulim, Kedah.
Back to the Gurun facility, it has a long history with Kia in Malaysia. It was previously known as the Naza Automotive Manufacturing plant and had assembled Kia vehicles under Naza from 2004. The plant was later sold to PSA Group in 2018, before Stellantis took full ownership in 2021.
The 140-acre facility currently employs more than 400 personnel and includes a main assembly plant, two-storey office building, paint and body shop, on-site test track, as well as dedicated vendor and supplier zones.
“This collaboration marks a key milestone in Kia’s strategy to return, rebuild, and reposition Kia in Malaysia. By partnering with Stellantis Malaysia and leveraging Malaysia’s automotive supply chain ecosystem, Kia is poised to strengthen our local footprint while reinforcing manufacturing quality and readiness to deliver future model expansion, in line with our Malaysian and regional growth ambitions,” said Kia Malaysia and Kia Sales Malaysia president and CEO Hyung Ho Kim.
Stellantis ASEAN managing director Isaac Yeo added that the partnership reflects the continued development and utilisation of the Gurun facility’s capabilities. “Through the continued development and utilisation of Stellantis’ Gurun facility capabilities, we remain committed to supporting the wider automotive and manufacturing ecosystem while creating shared value for partners, suppliers, and the industry,” he said.
For now, it has not confirmed which model will be the first to enter production at the Stellantis Gurun plant. However, with the facility prepared for the Sportage and Carnival, both models are likely to remain key parts of Kia’s local assembly strategy moving forward.
