Automotive sector overview With over 4.5 millions light passenger vehicles produced in 2010, South Korea is the world’s 5th automotive producer. Domestic producer are Hyundai, Kia (partially controlled by Hyundai), Ssanyong, Samsung (25% controlled by Renault) and Daewoo (controlled by GM Group). South Korea domestic light vehicle industry is the 12th globally.
Country Overview 49 millions people living in only 100.000 km2, working hard to conquest the world: that’s the fuel of Korean growth as high-tech industrialized economy. In 2011 with a GDP (at purchasing power parity) of $ 1.554 trillion, the country is the 13th economy globally and the per capita GDP at $ 31.700 is 40th ahead of countries like Italy and Spain, with a fast growing rate that project this country ahead to European Community by 2015. The unemployment rate is among the best globally (at 3.4% in 2011) with a Central Bank discount rate at 1.5% (Dec. 2011) in spite rising inflation rate (now at 4.2, was 3.0 in 2010). National Budget is producing a surplus (2,2% or $ 25.000 billions in 2011) and the Public Debt is only 22.5% of GDP (the 22th lower globally). South Korea is the world's 5th largest nuclear power producer (2nd in Asia). Nuclear power in South Korea supplies 45% of electricity production.
October 2013 was flat for the South Korean domestic car market. The market was marginally touched by automotive sector strikes operated in the previous two months, while export fell. BMW emerged as leader among importers and Hyundai Porter was market leader.
South Korean domestic market sales fell 11.1% in September penalized by lower working days and partial strike in Kia factories. Figures confirm low sales for Japanese models, while BMW, Volkswagen, Mercedes and Audi are disputing for leadership among importers.
The South Korean domestic market kept the positive momentum, booming year on year sales in August thanks to low sales in 2012. However, cumulated sales were up 2.5%. Daewoo/Chevrolet boomed sales with share above 10%.
Pushed by domestic automotive maker's rebates in defense of volume and share, South Korean car market rose 6.5% in July 2013, with cumulated sales flat on last year. BMW Series 5, the bestselling imported vehicle, jumped in 27th.
South Korean car market in June 2013 had lost 5.8%, ending the first half losing from last year. SsangYong posted one of its best share since years while the compact van, Hyundai Porter, surged on top of model ranking.
In May the South Korean car market was almost stable, with figures up 1.1% from last year. The commercial battle among domestic producers and importers continued and last month was the turn of Toyota to post its all-time record volume and share.
In April, the car market in South Korea was up 2.6% partially recovering on cumulated sales data, now down only 1.3% from last year. While Mercedes confirmed the growing trend, Volkswagen increased the share at 1.7%, new all-time record here.
Following the double digit decline posted in the previous month, in March the South Korean car market lost only the 1.2%. The first quarter ended down by 2.7% from last year. Among domestic producer SsangYong gained space.
In February 2013, the car market in South Korea posted a double digit decline, more than offsetting the good start scored in January. YTD sales were down 3.6%. BMW and Audi started the year with considerable share increase leading Importers attack at Koreans dominion.
Following a negative 2012, the New Year started moderately positive for the South Korean car market, which posted a 5.0% increase over last year. SsangYong outpaced Renault Samsung for the 4th place, while BMW posted new record sales.
In December the car market in South Korean was flat from last year. The 2012 ended losing 4% from 2011 in spite of partial recover posted since September consumption tax cut. Hyundai is stable at 43% of market share with 5 models in Top 6.
The South Korean car market posted a double digit increase in November, partially recovering from the weak sales shown during all this year, with year-to-date November sales were down 4.5%. The government car consumption tax cut was positively influencing the market.
Following four consecutive negative months, the South Korean car market was positive back in October with a 6.7% increase. YTD sales were down 6.1%. Hyundai dominated the market with 44% of share, with Kia at 29%.
The South Koreans car market in September posted the 4th consecutive decline with 127.933 sales, down 6.6% from last year. Year-to-date sales were 1.116.631, down 7.5%. All importers are growing, with BMW, Mercedes and Volkswagen towards their records.