Business Daily Small country, auto giant
Jan 21, 2026
Slovakia has transformed from a producer of slow, inefficient cars to a major automotive hub, largely due to Volkswagen's investment in Skoda. With nearly a million vehicles produced annually and Volvo set to boost that number, the country is redefining its industrial landscape. Inside factories like Kia's, automation and skilled workers enhance production. With strategic location, skilled labor, and government incentives, Slovakia is thriving in the automotive market, despite faced challenges like EV demand and increasing automation risks.
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Assembly Line Rhythm
- At Kia's Žilina factory a welded car body becomes a finished car on an assembly line at the rate of one per minute.
- The plant mixes robot welding with hundreds of human workers to complete production every minute.
Local Jobs Fuel Families
- Simona says she joined Kia because half her family works there and the pay is better than local alternatives.
- Marcel returned from working in Northern Ireland and now earns roughly €1,300 with prospects to rise.
Proximity Beats Long Supply Chains
- Marc Edrich explains building in Slovakia brings proximity to European customers and shorter lead times.
- Producing in Europe also preserves eligibility for region-specific EV incentives and consumer grants.