Kia Motors, South Korea's second-largest automaker, said on Tuesday it had begun production at its first plant in the United States.

The $1-billion plant at West Point, Georgia, can produce 300 000 vehicles per year, the company said in a statement.

Kia is affiliated with South Korea's top carmaker Hyundai Motor, which runs a plant in the neighbouring state of Alabama. The two firms make up the Hyundai Automotive Group, the world's fifth biggest automaker.

The Georgia plant employs 2500 workers and its parts suppliers would create 7500 additional jobs in the state, Kia said.

"The start of production for our first manufacturing facility in the United States further demonstrates our commitment to growth in North America," B.M. Ahn, head of Kia's US operations, said in the statement.

The South Korean carmaker has fared relatively well during the world economic slowdown, thanks partly to its focus on cheaper and energy-efficient vehicles.

Kia posted a record high quarterly net profit of 402-billion won ($348-million) for the third quarter, with its global sales jumping about 30 percent.

Kia produces nearly 1.5 million vehicles per year in 13 manufacturing plants in eight countries, employing 40 000 people worldwide.