South Korea’s automobile exports saw a significant decline of 19.6% in January, compared to the same period last year, primarily due to a reduced number of business days caused by the extended Lunar New Year holiday. According to the Ministry of Trade, Industry, and Energy, the total value of vehicle exports in January amounted to $4.99 billion, down from $6.21 billion the previous year, which had marked the highest January export value in history.
While this figure remains the second-highest for any January, the drop was attributed to a base effect and fewer working days. Additionally, Renault Korea’s one-month suspension of its Busan plant for the establishment of electric vehicle (EV) production infrastructure further contributed to the decrease in exports.
In terms of production, the number of vehicles produced dropped 18.9% year-on-year, totaling 2.91 million units in January. However, shipments of hybrid electric vehicles (HEVs) surged by 35.5%, setting a new record of 360,000 units.
Domestic automobile sales also saw a decline of 9%, with reduced popularity of SUVs and increased sales of passenger cars like the Avante and Grandeur.
In response to these challenges, the South Korean government plans to collaborate closely with the auto industry to maintain the country’s competitiveness in the future mobility sector amid growing uncertainties in global trade.
Related Topics:
Big Banks Agree to Pause Regional Branch Closures Until 2027
How Conjunction Leadership is Restoring Humanity to the Workplace
How Security Solutions Can Help Businesses Achieve Sustainability Goals
