Kia will partner with Japanese passenger transport company MK Holdings to expand its purpose-built vehicle (PBV) business in Japan. The company plans to supply 40 PV5 units by the end of this year and increase total supply to 1,000 units by 2030.
Kia announced on the 3rd that it recently signed a "Business Agreement on PBV Business Cooperation in Japan" at its Seoul Yangjae headquarters, with Kim Sang-dae, Vice President and Head of Kia's PBV Business Division, Nobuaki Aoki, President of MK Holdings, and others in attendance.
MK Holdings operates mobility services, including taxis and tour buses, with bases in eight Japanese cities, including Kyoto, Osaka, and Nagoya, centered around the Japanese taxi company "MK Taxi."
Based on this agreement, Kia, MK Holdings, and Kia PBV Japan will promote the expansion of PBV adoption in Japan, as well as exhibition and sales, and the reinforcement of service infrastructure.
Kia will first supply 40 PV5 units to MK Holdings by the end of this year. It aims to continuously expand the supply scale to deliver a total of 1,000 PBVs by 2030.
Currently, four PV5 units have been supplied and have been operating as MK Taxi vehicles in the Kyoto area since the end of last month. MK Holdings plans to utilize the PV5 not only for taxis but also for various services such as high-end ceremonial transport and airport pickups in the future.
The PV5s supplied to Japan feature the CHAdeMO charging method, which has a high adoption rate locally, as standard equipment. While securing a wheelbase of 2,995 mm, the turning radius was designed to be 5.5 m, taking into account Japan's driving environment with many narrow roads and alleys.
Along with vehicle supply, Kia will cooperate in local maintenance, technical support, and parts supply. Kia PBV Japan is responsible for building sales and service networks within Japan.
Kia PBV Japan is a local subsidiary established last year through 100% investment by Japanese general trading company Sojitz for Kia's PBV business in Japan. The three parties plan to operate vehicle exhibitions and test drive programs utilizing MK Holdings' sales and marketing facilities.
Kia is strengthening its PBV business, anticipating an expansion of demand for electric commercial vehicles in Japan. As the Japanese government is pursuing a goal to convert up to 30% of new commercial vehicle sales under 8 tons to electric vehicles by 2030, the company plans to target the small and medium-sized electric commercial vehicle market.
Vice President Kim stated, "This business agreement is not merely about vehicle supply, but a starting point for strategic cooperation to create new possibilities for PBV utilization in the Japanese market together." He added, "We will expand our partnership by combining MK Holdings' mobility business experience with Kia PBV Japan's local operational capabilities."
in INDUSTRY
