KG Mobility advances KD production in Vietnam as gateway to Southeast Asia exports
KG Mobility chairman Kwak Jae-seon visited Vietnam to review readiness at the company’s local KD production site and to discuss collaboration with Vietnamese partners.
The trip focused on KLMH, a dedicated KD (knock-down) production facility under construction in the Kim Long Motors Hue industrial complex in central Vietnam. Kwak toured the site with Kim Long Motors, a subsidiary of the FUTA Group, to assess readiness and support needs as the plant nears completion.
KGM plans the Vietnam site to manufacture KD kits and also to supply the entire production line package, including body, paint, and final assembly processes. The company said its production technology and know-how will be reflected in high-quality vehicles intended for the local market and exports.
Kwak described Vietnam as a strategically important gateway for Southeast Asia, with growing auto demand and potential as a hub for expanding regional exports beyond established markets in Europe. He said the group aims to broaden global sales by introducing new models, such as Musso, to overseas markets.
FUTA Group’s Kim Long Motors is a Vietnamese subsidiary formed to support local assembly under a broader partnership that began with a 2023 licensing arrangement. The joint plan is to begin full KD production once the facility reaches a ready state, starting in the latter half of this year.
Beyond Vietnam, KG Mobility has already pursued KD expansion in other markets. In May of last year, it signed a memorandum of understanding for KD supply in Indonesia, and this year plans to extend KD operations to Bangladesh and Sri Lanka.
For U.S. readers, the strategy highlights how automakers are diversifying regional manufacturing to reduce dependencies, tap growing Southeast Asian markets, and shorten global supply chains. KD assembly allows local production with imported kit components, potentially affecting global parts sourcing, regional logistics, and timing for new model rollouts in Southeast Asia and beyond. The move also signals how Korean automakers are broadening their footprint in Asia, with implications for trade, investment, and competition in global markets.