Auto Exports Jump 35 pct in September on Popularity of Eco-friendly Cars

SEOUL, Oct. 14 (Korea Bizwire) — South Korea’s car exports jumped 34.7 percent on-year in September on brisk demand for eco-friendly cars, data showed Friday.

The value of outbound shipments of automobiles came to US$4.79 billion last month, the largest ever for any September, according to the data from the Ministry of Trade, Industry and Energy.

It is also the second-largest monthly figure after July 2022 when the amount came to $5.14 billion, it added.

In terms of volume, a total of 192,863 vehicles were sold last month, up 27.5 percent from the previous year, the data showed.

By nation, exports to North America jumped 70.1 percent to $2.26 billion, and those to Asian nations surged 95.4 percent to $434 million. Sales in the Middle East and the Latin American nations rose 32.3 percent and 10.7 percent, respectively.

But exports to the European Union fell 4.4 percent on-year to $755 million amid deepening concerns over surging prices and an economic slowdown, according to the ministry.

The brisk sales were on the back of rising demand for eco-friendly vehicles.

The export value of eco-friendly cars climbed 35.1 percent on-year in September to $1.41 billion, marking the 21st consecutive month of on-year growth.

It is also the second-largest monthly figure after July 2022 when the country sold $1.47 billion worth of eco-friendly vehicles, according to the data.

A total of 48,604 units were sold last month, up 39.1 percent from the previous year, the data showed.

Eco-friendly cars accounted for 29.4 percent of the country’s total car exports in terms of value in September, according to the data.

Exports of auto parts also increased 8.7 percent on-year to $2.01 billion last month, the data showed.

Domestic production also grew 34.1 percent on-year to 307,721 units last month, extending its winning streak to a fifth month.

The growth came as the shortage of automotive chips has eased and the number of working days rose compared with a year earlier, according to the ministry.

Of major firms, production by Hyundai Motor Co. and its affiliate Kia Corp. advanced 40.0 percent and 12.7 percent on-year, respectively.

Domestic sales of automobiles also rose 23.1 percent on-year to 140,242 units in September.

The number of eco-friendly cars sold at home soared 36.7 percent to 41,585 units. They accounted for 25.2 percent of the total domestic car sales in terms of volume, reaching an all-time high, the data showed.

It marked the first time in 20 months that car exports, domestic demand and production logged an on-year growth at the same time, the ministry said.

(Yonhap)