Kia Rio News

Lofty volume targets have been set for Kia by its Australian boss despite ongoing supply constraints. As the Australian arm of the Korean brand unveiled its new Rio, Kia Motors Australia president and CEO MK Kim has plans to take Kia beyond 30,000 units next year on the back of the new light car, but it's unknown territory for breed. "We're targeting 2400 (Rios) for the rest of this year, 6400 next year - if we didn't have supply constraints perhaps we could sell 8000," he says. The company is also in negotiations and is confident of locking in the Picanto five-door hatch to slot in below the new Rio, but production capacity and timing remains an on-going theme for Kia. "We are asking for the Picanto as well, but it's the same problem - capacity - but we will keep trying to get it," he says. Kim says the brand is on track for 25,600 for 2011, with a target well beyond 30,000 for 2012. "In July I asked Korea for at least 34,000 supply, but KMC doesn't have enough capacity to meet that demand," he says. The Australian right-hand-drive market continues to play second fiddle to larger left-hand-drive markets (like the US) and the brand's home market of Korea for new models and new technology. Two of the brand's recent introductions - the new Optima and Sportage SUV - have received some critical acclaim but are not fulfilling their sales potential because of supply. "We only get 20 or 30 Optimas a month, we need 200 - we don't do any marketing because we don't have any cars," he says. "Once they look at all the market demands they will look at ours, but at this moment is my aim is to hit 34,000 next year," he says. So far this year Kia has (to the end of July) sold 14,701 - up 3.1 per cent on its YTD 2010 tally. Kia's 2010 performance of 23,848 was a 22.9 per cent increase on 2009. The affable Kia boss says its Sportage SUV still has issues with diesel engine supply as well as limits to production capacity. "Our chairman's direction is not to increase production volume, he wants to focus on quality," he says. Greener diesels, fuel saving technology and hybrid drivetrains are in the pipeline but will appear in Australia dependent on larger markets. Australia will see the fuel-saving Stop-Start system in Kia-branded cars as early as next year - promising fuel savings as high as 15 per cent - followed by diesels; hybrids and electric drivetrains will be unlikely before 2015 as there are no concrete plans. Mr Kim has also indicated an interest in returning Kia to the light truck and van market. "I'd like to get back the light trucks and vans, we sold 450 Pregio a month, Hyundai sells 500 a month or more with the iLoad - I have several times requested something similar to the iLoad but no luck yet," he says. We'll have an in-depth road test and review of the new Kia Rio for you here on September 1.

Australian chief operating officer Tony Barlow says the new Rio, coming in September, will be good value with sleek design, new engine technologies and six airbags standard. “We know what we have to for to put it in the market,” he says. “We will not enter into bargain basement pricing. Some models are around $10,000-$11,000 and we are not playing that game.” The new Rio was released at the Melbourne Motor Show in a carnivale atmosphere with Dancing with the Stars judge Tom McKenny giving a 10 out of 10 performance of Peter Allen’s I Go To Rio with a dance troupe. The performance reflects the sleek new look of the Peter Shreyer design. For the first time, the car will come with a choice of three, four and five doors, with the latter the first to be launched here. The others will follow next year. Barlow says the car is not only an improvement in design, but also technology, featuring new diesel and direct-injection petrol engines. The top-of-the-range model is available with such luxury car fittings as LED daytime running lights, Bluetooth and cornering headlights. The new Rio is 55mm longer, 25mm wider and 15mm lower with a 70mm longer wheelbase to improve passenger space and cargo capacity. It will arrive with a choice of 10 body colours. Barlow says the car is the next step in their commitment to optimisied handling for local conditions. “We have spent hundreds of hours and thousands of kilometers in testing,” he says. “It’s a development program championed for Australia in Australia.”

…of the last half decade at the Motor Show.Kia Motors Australia spokesman Kevin Hepworth says they flew out two of the upcoming new Rio models at the 11th hour for the show."We're lucky to have a car here because production has been delayed and has only just started, so we air-freighted them out."Lucky they did as the light cars are show-stoppers with their muscular and aggressive stance, motorcycle-style instruments and impressive list of features you would expect in more luxurious and expensive cars such as cornering headlights and LED daytime running lights.The new Rio goes on sale in September with the five-door hatch. For the first time it will also be available in three and four-door variants, arriving early in 2012.On show in Melbourne is a top-spec model with low-profile tyres and all the kit, plus a base car with blacked-out windows because it is a "mule car" fitted inside with "development plastics" instead of the final production trim."We weren't prepared to not have it on show, so we grabbed what we could and flew it out," Hepworth says.Kia Motors Australia CEO MK Kim says customers "will want to buy for its looks, as well as its environmental credentials".The Rio is powered with a choice of 7.9kW/135Nm 1.4-litre four-cylinder petrol engine or 103kW/167Nm 1.6-litre direct-injection petrol engine.Kia claims a 13 per cent power boost in the 1.6L engine while lowering emissions.The new Rio model is 55mm longer, 25mm wider and 15mm lower with a 70mm longer wheelbase to improve passenger space and cargo capacity, as well as give it a purposeful and sleek stance on the road.It will arrive with a choice of 10 body colours. Inside are centrally-located toggle switches reminiscent of the Mini.Features available include MP3 compatibility, aux, iPod and USB connections, Bluetooth hands-free, cruise-control and climate-control air-conditioning.Like the Sorento, Cerato, Sportage and Optima, the new Rio's suspension and running gear have been tested in Australia and tuned to our conditions.On the safety side, it comes with stability control, ABS, electronic brake force distribution, emergency brake assistance, hill-start assistance, up to six airbags and the option of cornering headlights.

The Rio is the Korean company's price fighter and must do the heavy lifting for the brand as it lifts its lineup and reputation downunder with everything from the upscale Optima to the sellout Sportage diesel. The Rio is previewed as a four-door sedan in the Big Apple, alongside a revamped Soul with Kia's new 'face' on the front and a bigger platform below, following the unveiling of the five-door hatch in Geneva in March. The sedan is more elegant than before and expected to spread the Rio's impact as Kia  Australia looks to lift sales beyond the current level of 650 cars a month. It is already into runout and a major push could easily lift total sales - with three models - towards 1000 a month. "Kia is learning all the time. The new Rio shows that and also reflects the changes in our cars," says Kia Australia spokesman, Kevin Hepworth. The sedan, like the hatch, is based on the mechanical package of the Hyundai i20 but with considerable changes and tweaking for Australia under the control of the company's resident chassis guru, Graeme Gambold. But the bad news is that prices are likely to rise a little, from today's starting sticker at $14,990, despite the strength of the Australian dollar. Kia Australia is planning a staggered rollout of the Rio as supplies become available from Korea. "The five-door hatch will be the first car for us, in August," says Hepworth. "We don't have a definite timing on the four-door sedan, but we're expecting late this year or very early in 2012. The three-door hatch that completes the lineup will be revealed later in the year at a major motor show." Kia is claiming class-leading efficiency for the new Rio, thanks to 1.4 and 1.6-litre engines which start with 102 kiloWatts. "We're still finalising the engines, but we hope to get both," says Hepworth. The Soul is confirmed with a 1.6-litre direct-injection GDI petrol engine and relatively minor body changes to bridge the gap between the current model and an all-new Soul 2012. "The facelifted Soul should be coming to Australia by the end of this year," says Hepworth. "It's an opportunity to put a new engine, the 1.6-litre GDI, in the car, and give it a bit of a tweak to keep it fresh."

A Rio GTI is only a question of time and there is also likely to be a genuine Kia sports car as a motor show hero in 2012 before full-scale production in 2013 or 2014.

China is clearly on top of the car world in 2011.

It's one new development that will be joined by an expanded range of turbo engines as Kia lures an increasingly sophisticated list of buyers. Under development is the three-cylinder turbocharged 1.2-litre petrol engine that Kia's German-based power train manager Joachim Hahn says will soon replace units of 1.6-litre and higher. That indicates there's a new direction for Rio and, for some markets, even the bigger Optima sedan.He clearly lays out a path for Kia that is high on engineering sophistication and with concentration on petrol - rather than diesel - power for the future.  In arriving at the 1.2-litre, Mr Hahn - "it means 'cock','' he says by way of introduction - says Kia also developed a two-cylinder version."But though we could save a bit more fuel, it was noisy and had vibration problems,'' he says.  "To fix the vibration we would have to put in balance shafts and that would increase friction and cost so we would have found more benefits in a three cylinder.''He says Kia has made significant changes in recent years as it developed new engines.  "In the past few years we started quite strongly in diesels,'' he says.  But we found new technology in developments such as the 1-litre, three-cylinder petrol engine for the Picanto (small car) that uses variable valve technology to maximise power and minimise fuel consumption and emissions."Consumers won't accept a lack of power in a small car. They also won't pay extra for new technology because small cars are generally price sensitive. So that rules out turbo-charging for the lower end of the market because it's too expensive."Diesel engines are also too expensive for the Picanto market. It can add about $3000 to the cost and customers won't pay that.  "So, in the case of the Picanto's engine, it is a three cylinder with variable vales and a variable inlet manifold - this is relatively inexpensive technology that won't harm the price of the car.''The carmaker is also introducing bi-fuel - that's LPG and petrol - to its small-car range in some markets because it can slash missions.  A Picanto, for example, with a bi-fuel engine can achieve a very low 90 grams per kilometre of CO2.Kia will add turbo-charging to many of its engines destined for the more expensive end of its market.  "Turbo-charging is clearly on our road map,'' he says."Combined with direct-petrol injection, it is our new future.''  Kia makes a turbo-petrol engine for the Optima for the US market which has 200kW and a flat torque curve.Kia says that model will be considered for Australia but demand in major markets - such as the US - may push out its launch time.  He sees a different type of turbo-charging for diesels and new challenges for petrol-fuelled engines."We are looking at downsizing the capacity of diesel engines,'' he says. "Normally, it is petrol engines that get smaller.  Now we are looking at a smaller capacity diesel with two-stage turbo-charging. It's a high challenge but it s potential to further cut diesel fuel use and emissions.''One of the unexpected problems he sees for the near future is government regulation to reduce the amount of particulates - generally soot from an exhaust in a diesel vehicle - from petrol engines.  "Petrol engines do produce particulates,'' he says."Now we believe that these may be targeted and tat means we have to apply more technology to future petrol engines. Previously this wasn't an issue for us. "It's just another challenge.''

Kia's new frontline fighter is the Rio, which becomes the spearhead for the company this year and a pivotal model in its plan to rise beyond the bargain basement and become a brand with the cars and quality to challenge Japan's best.The new Rio, which will be sold in Australia from August as a five-door hatch priced from about $15,500, must sell far better than its predecessor and also deliver on Kia's quality promises."It's an extremely important car for us," Michael Choo, Kia's global communications manager, tells Carsguide.  "Here's an example - the old Rio sold 20,000 units a year in Europe. We expect the new Rio to sell 90,000 a year."The new Rio is a pivotal car and changes start with the design. The styling was done by a team working in three countries and, though it has a similar face to other new Kias including the Optima sedan and Sportage SUV, the body shape is all new.Action starts with the five-door hatch and it will be joined before the end of the year by a sedan and, in early 2012, a three-door model.  The new Rio is a chalk-and-cheese comparison with the outgoing car, as it is longer, wider and lower to provide greater cabin room and a sporty profile.The wheelbase is up by 70mm to 2570mm yet overall length expands by only 55mm. The Rio is also 15mm lower than the existing model and 25mm wider to result in more cargo space.  Globally, the Rio will be offered with six engines including a three-cylinder, 1.0-litre petrol and a 1.1-litre diesel.However, Kia Australia spokesman Kevin Hepworth says Australia will get a 1.6-litre engine and perhaps a 1.4-litre engine to set a starting price. The price penalty strikes Australia off the list for a potentially zippy - and Volkswagen Polo chasing - 1.2-litre direct-injection turbo-petrol engine.Kia says the Rio is aimed at buyers who are downsizing into the brand.  "A B-segment car as attractive as the Rio, with its driver-oriented cabin and interior trim options, will no doubt help consumers to be more comfortable making that switch," says Kia's director of overseas marketing, Soon-Nam Lee."The Rio is our 'next big step' in Kia's design revolution and we anticipate this model becoming even more popular than the current vehicle."While the Rio is the focus in Geneva, the company also unveils the Picanto city car, which is now firming for a place in Australian showrooms, as well as the Optima that is also on the wish list for local sales.

It's just been cleared for take-off in Korea and will land at the Geneva Motor Show at the start of March.  The car has a much bolder look than the current Rio, with the new Kia 'face' already seen on the flagship Optima, and seems more substantial than the model it will replace. But the downside is a price that is likely to jump over $15,500.  The Kia pictures only show the five-door hatch but this car will be followed by a four-door sedan and a baby three-door. Kia's follow-up cars are also expected to be displayed at major motor shows, most likely including the headline Frankfurt show in September. Kia is expecting big things for the new Rio in Australia and also admits the car opens the way for the smaller-and-cheaper Picanto, which would become a $13,000 price fighter. The Rio is built over the same mechanical package as the Hyundai i20 but, like the company's Sportage and Optima, is substantially difference in visuals. "It's in character with all the cars that Kia is rolling forward. They are not going to go backwards," says Kia spokesman, Kevin Hepworth.  Kia Australia currently only has the bare basics on the new Rio but is expecting more concrete information following the Geneva show.

The all-new Rio, with a European design focus, is into final testing in Germany and is already confirmed for Australian sales midway through 2011.  The Rio is caught during testing in Germany where the five-door hatch - one of three models in the UB development program - shows a trendy style with an upmarket drive including alloy wheels. The five-door Rio will be the first car into Australia, with the three-door hatch and four-door sedan to follow later.  "We are expecting an official reveal of the UB early in 2011. We will be launching the car here in the middle of next year," says Kevin Hepworth, spokesman for Kia Australia. He agrees that the apparent growth in the five-door hatch’s length may not all be down to camouflage padding.  “If it has grown, that would open up the sub-compact category as a future possibility for Kia,” Hepworth says. The design chief of the new Rio is Massimo Frascella, formerly at Aston Martin and Ford, who was also responsible for the body of the good looking new Sportage SUV. He works from Kia's design studio in California. The mechanical package of the UB is completely new and Kia stresses it is not shared with anything in the Hyundai family, and definitely not the latest i20 baby car. Frascella talked openly about the UB project during his visit to New Zealand this year for the Australian press preview of the Sportage, and insiders say a clay model of the car has already been previewed in Europe. But Kia Australia has no information yet.  However, it confirms the car will be built in Korea for sales in Australia despite a plan which will see European cars built at one of the brand's European factories. The new Rio is likely to be unveiled in Europe early in the new year, which points to a preview of the five-door hatch at the Geneva Motor Show in March.