South Korea’s car export worth is projected to surpass $70.9 billion this 12 months, breaking via excessive U.S. tariffs to set a brand new file excessive. This achievement comes from actively creating European, Asian, and Latin American markets amid U.S. commerce limitations.
In keeping with the November Vehicle Business Developments launched by the Ministry of Commerce, Business and Sources on Dec. 21, Korea’s car export worth in November reached $6.41 billion, a 13.7% improve in comparison with the identical month final 12 months. This represents the second-highest November export worth on file, and the cumulative export worth via November totaled $66.04 billion. The ministry expects the annual export whole to surpass the file excessive of $70.9 billion set in 2023.
Vehicle exports elevated in most areas this 12 months, excluding the US, which imposed excessive tariffs. Led by exports to the European Union (EU) reaching $8.817 billion via November, a 19.7% improve, exports surged considerably to Asia ($7.377 billion, 38.3% improve), the Center East ($4.789 billion, 4.1% improve), and Latin America ($2.85 billion, 13.2% improve).
U.S. exports decreased 14.2% via November because of the 25% tariff imposed this 12 months, however recorded $2.69 billion within the earlier month, a 5.1% improve in comparison with the identical month final 12 months, marking an upward flip for the primary time in 9 months on a month-to-month foundation after the tariff fee was lowered to fifteen% following the conclusion of Korea-U.S. tariff negotiations. Whereas whole car export worth elevated by roughly 2%, export quantity decreased 1.6% to 2,491,430 models via November in comparison with final 12 months.
Home car manufacturing additionally decreased 0.4% to three,739,675 models from January to November in comparison with the identical interval final 12 months, though home gross sales of Korean vehicles elevated barely to roughly 1.535 million models. Imported automobile gross sales elevated 15% to roughly 294,800 models.
In the meantime, the only mannequin with the best exports via November this 12 months was GM Korea’s Chevrolet Trax with roughly 263,800 models, whereas Kia’s Sorento ranked first in home gross sales, exceeding 90,000 models.
