Kia partners with Japan's MK Holdings to expand PBV sales, targets 1,000 units by 2030

Kia announced Tuesday it will expand its purpose-built vehicle business in Japan through a new partnership with local passenger transport company MK Holdings.

The two companies signed a memorandum of understanding on PBV business cooperation in Japan at Kia's headquarters in Yangjae, Seoul, with Executive Vice President and PBV Business Division head Kim Sang-dae and MK Holdings President Aoki Nobuaki in attendance.

Under the MOU, Kia will supply PBVs to MK Holdings — which operates the MK Taxi service — with the goal of growing sales in the Japanese market. MK Holdings runs mobility services including taxis and tour buses across eight Japanese cities, with operations in Kyoto, Osaka and Nagoya, among others.

Kia plans to deliver 40 PV5 units to MK Holdings by the end of this year, then scale up supply to a total of 1,000 PBVs by 2030. Four PV5 units have already been delivered and have been operating as MK Taxis in the Kyoto area since late last month. Kia said it will also cooperate on local maintenance, technical support and parts supply.

The PV5 units bound for Japan will come standard with CHAdeMO charging, the format most widely used in the country. Kia said the vehicle's 2,995-millimeter wheelbase provides a spacious interior while its 5.5-meter turning radius makes driving and parking manageable on Japan's narrow roads.

MK Holdings plans to deploy the PBVs across a range of services — including taxis, premium VIP transport and airport pickups — and will expand adoption by drawing on its long-standing taxi operating expertise and customer base. Kia PBV Japan, established last year, will handle local sales and service network development. The subsidiary was set up as a wholly owned local entity by Japanese trading company Sojitz. The three companies also plan to run vehicle display and test-drive programs at MK Holdings' sales and service facilities.

Kia said it intends to capture demand for small and midsize electric commercial vehicles as the Japanese government pursues a carbon neutrality policy targeting up to 30 percent of new commercial vehicle sales under 8 tons to be electrified by 2030.

"This MOU is a strategic starting point that goes beyond simply supplying vehicles — it is about jointly creating new possibilities for PBVs in the Japanese market," Kim said. "We will continue to expand our partnership to deliver new mobility value to customers by combining Kia's PBV product competitiveness, MK Holdings' mobility business experience, and Kia PBV Japan's local operational capabilities."

Meanwhile, Kia sold 291,219 vehicles in global markets in October on a wholesale basis, up 10.3 percent from the same period last year. Domestic sales rose 27.5 percent year-on-year to 51,007 units, while overseas sales climbed 7.2 percent to 239,308 units.