Earlier this year, Kia announced the EV3 as an affordable electric crossover with up to 320 miles of range. Currently produced in South Korea, Kia calls it a “right-sized all-electric entry SUV,” but whether the size is right depends largely on the price relative to similar offrings, and to make it competitive in North America, Kia’s managing director Horacio Chavez has announced a $649 million investment in the country, with specific attention being paid to the PesquerÃa plant in Nuevo León, Mexico, through 2028. The EV3 enters production at the retooled plant from August 4, 2026, reports Reuters.
That’s today, and it will go down as the first time in the automaker’s history that a battery-electric vehicle is assembled in Mexico. Pre-orders there have already opened, while the plant will export the EV3 to the U.S. later this year.
EV3 U.S. Pricing TBC As EV4 Is Delayed
Kia
The EV3 has not yet been priced, and it may be some time before it and the larger EV4 reach the U.S., as Kia delayed the former and temporarily paused the latter due to weak EV demand. But Kia told Autoblog that the EV3 will make its way here before the end of 2026, and while pricing will depend heavily on the outcome of a revised North American trade agreement, offering an entry-level practical crossover with the right proportions for a city, where charging infrastructure is reasonable, may encourage growth. It’s expected to start around $35,000, making it competitive with the limited-time Chevy Bolt and the base Tesla Model 3, but any higher, and the $30k Nissan Leaf will be even harder to argue against.
Kia’s Mexico Investment Is About More Than The EV3
Kia
The upgrades to Kia’s PesquerÃa plant may someday benefit the EV2, which is too small for U.S. tastes but is ideal for Europe. As noted by Reuters, Mexican Economy Minister Marcelo Ebrard said that, amid growing protectionism policies from its largest trading partner, the U.S., Mexico is looking for other markets to support its export economy. Meanwhile, the locally made EV3 will also provide a relatively affordable offering to the local market, reducing imports. The EV3 will reportedly launch with approximately 27 percent local content, but that figure will increase as more regional suppliers are brought onboard. Battery packs will come from Asia to begin with, and as the supply chain is built, those and other high-value components will gradually be sourced closer to the factory.
Part of the $649 million investment will go to public and semi-public charging infrastructure aligned with Kia’s dealer network, while some will go to renewable energy and water recycling projects at the assembly plant, lowering the EV3’s overall environmental impact and the plant’s running costs.
Related: Hyundai Ioniq 5 Vs. Kia EV6 Sales: It’s Not Even Close
Â
