Kia Production Halt: How the Safety Industrial Fire Disrupts Engine Valve Supply

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A fire at auto parts supplier Anjeon Industrial has begun to disrupt vehicle production across Hyundai Motor Group.

On March 23, industry sources said Kia’s Autoland Hwaseong engine plant will halt operations on March 27 after running into parts shortages. The roster of affected models is expected to grow.

Anjeon Industrial, a maker of engine valves for cars and ships, supplies valves to Hyundai’s Ulsan and Asan plants and to Kia’s Autoland complexes in Hwaseong, Gwangmyeong and Gwangju.

Engine valves are critical components that control air and fuel intake into cylinders and the release of exhaust gases; they are essential for producing internal combustion engines.

Deliveries stopped after the blaze, and production disruptions have already surfaced at Hyundai and Kia plants. At Kia’s Autoland Hwaseong engine plant, the interrupted valve supply has affected production of Theta engines and other lines. Workers on-site clocked only two hours of work in their eight-hour shifts on March 23 and 26.

The facility is scheduled to suspend operations entirely on March 27. Engines built at Autoland Hwaseong are shipped to nearby plants, including Kia Autoland Gwangmyeong.

Some models assembled at Autoland Gwangju — notably the Sportage and Seltos — use Anjeon Industrial’s valves. Plant managers are reportedly evaluating contingency measures, including alternate suppliers.

Donghee Auto, which assembles the Kia Morning and Ray under contract, plans a partial production halt starting March 27 due to the valve shortage. The company is also considering a full stoppage from April 1–11.

Hyundai has been less affected so far. Ulsan’s plant has not yet reported production losses tied to the fire.

The company has re-prioritized its production sequence, running models that do not require the affected valves first to keep lines moving.

Industry analysts caution that Hyundai’s Ulsan plant could face disruptions as early as next week. Hyundai is exploring domestic alternate suppliers and overseas sourcing to secure the needed parts.