Kia is preparing its all-new Rio for launch at the North American International Auto Show in Detroit in January. The European version, a five-door hatchback, will be shown at Geneva in March before it going on sale in the UK in late summer 2005.

The UK range will feature two petrol engines, 1.4 and 1.6 litre, and a 1.5 litre diesel. Pricing is not confirmed yet but Kia does not expect much change from the current car, which starts at £7,998.

The new car has a longer wheelbase, wider track, more horsepower and more interior room than its predecessor, marketed as ‘Focus sized for Fiesta money’. The design is based on the Kia Sport concept car shown in Paris last September.

Kia has sold 7200 Kia’s in the UK so far this year. Sales targets have not been set for the new car yet but Kia hopes to sell 45,000 cars in the UK in 2005, up from 33,000 this year. The company is targeting more than 85,000 sales by 2007.

Kia is also showing an SUV concept called KCD2 at NAIAS. Larger than the Sorento, it is expected to be on sale in the UK within two to five years.