Kia is launching a new range of EVs that can be easily modified to meet different interior and design needs and will begin selling a mid-size van in Korea in July. The company is currently in talks with about 100 companies in the transportation and logistics industry. Although global EV sales are currently sluggish, Kia hopes to develop a new revenue stream by promoting the fact that the specifications of these vehicles can be changed to suit the needs of different industries.
“We have opened up a new paradigm with our customized EVs.” The CEO spoke with great enthusiasm at Kia’s EV Day event in Spain. The company unveiled the first production model of the “PV5,” a mid-size van that is the first in a series of independently developed EVs called “Platform Beyond Vehicle” (PBV).
The PV5 is large enough to seat up to seven people and has a customizable interior. The entire rear of the vehicle can be converted into storage space, or a worktable can be added to turn it into a mobile kitchen. A ramp can also be stored next to the seats to make it easier for wheelchair users to get in and out of the vehicle. The basic model is priced at $32,600 USD (30,000 euros) before tax.
By using a modular design that combines different parts on a dedicated platform, the company says it can produce a wide range of products in small quantities at low cost. The vehicles will be produced at a dedicated factory near Seoul and exported worldwide. The company aims to sell 250,000 units by 2030. Of these, 80% will be commercial vehicles, and the company expects them to be used for light-duty work such as last-mile delivery (e.g. taxis, courier services, etc.) and electrical repairs. The remaining 20% will be for general consumers.
Source: The Nikkei
PSR Analysis. As I mentioned in the February issue, the global stagnation in demand for EVs is still a problem, but the low running costs of EVs are still attractive to corporations, which are more cost-conscious than general consumers.
The concept of the model that Kia announced this time is not uniform, and it can be used for a variety of purposes, and in this respect, it is a service that no other company has. It also is a favorable concept from the perspective of differentiation. Of course, this model alone cannot cover the slowdown in demand for electric vehicles, but the market will probably favorably receive the appearance of a vehicle that can be used in this way based on customer requests. PSR
Akihiro Komuro is Research Analyst, Far East and Southeast Asia, for Power Systems Research
