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The hybrid will take a step beyond Toyota's flagship with a lithium-ion polymer battery pack but will not be built as a plug-in car, according to Kia chief, Hank Lee. It is most likely to be a version of the latest Optima, which has just out-sold the equivalent Hyundai in Korea and is coming to Australia early in 2011. But there is - as yet - no confirmation of a hybrid plan down under.
"From January we will be building a hybrid. Full hybrid, like the Camry," Lee tells Carsguide in an exclusive interview. "We plan to utilise an existing body. We have already developed a left-hand drive version and production will be from December this year. But the layout for right-hand drive is a little bit different. We are negotiating to cut the investment so we can do it."
Lee says Kia has a high-tech drive underway in Korea as it works on everything from plug-in city cars to models powered by hydrogen fuel cells generating on-board electricity. But it also has a total renewal underway on its current showroom models.
"By 2013 I think most of our product will be new. That, I think, is our strength," he says. "Even during the financial crisis we never stopped, never delayed, our new product development. That, I think, is our strength. The new product keeps coming. And we will have some high-performance engines."
He says the latest Sportage is just the start, with the Optima coming early next year and the all-new Rio later in 2011.
"For Rio, we benchmark Toyota Yaris and Peugeot 207."
But he stops short of a five-star safety commitment on every new Kia, unless Australia - and Australians - are prepared to pay.
"The technology is for five-star in all products. In America, with an entry car, four-star is enough," Lee says. "To achieve five-star we need active and passive safety features. (So) It depends on the local needs. If MK Kim (Australian Managing Director) and his team want five-star with the new Rio then he has to pay more. And also the customer has to pay more. It's a marketing decision."
But he currently rules out building Kia cars for Australia outside Korea, even if Hyundai is spreading its manufacturing footprint.
"Duty now is five per cent and we are discussing with the Australian government a Free Trade Agreement. If both governments reach an agreement then why not from Korea? It's not very far from here and no tariff."
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