This photo provided by the Incheon Port Authority on March 18, 2024, shows newly manufactured automobiles waiting to be shipped overseas. (Yonhap)
SEOUL, Oct. 6 (Korea Bizwire) – Over 60 percent of South Korea’s automotive exports throughout most of 2024 have been shipped to North America, industry data showed Sunday, raising calls for companies to consider more balanced global export strategies.
According to industry data, exports of the five automotive firms with manufacturing bases in South Korea — Hyundai Motor, Kia, GM Korea, KG Mobility and Renault Korea Motors — totaled 1,857,111 units during the January-August period.
Of those, 61.4 percent, or 1,140,073 units, were shipped to North America. Exports to the region increased 15.9 percent from 983,321 units during the same period last year.
In particular, exports to the United States totaled 970,066 units, accounting for roughly half of all South Korean automotive exports during the cited period. American exports recorded an 18.7 percent on-year jump during the period.
In contrast, exports to other regions recorded significant declines from last year, with those to Africa dropping by 44.7 percent. Shipments to Asia, the European Union, Latin America and the Middle East also fell by 23.5 percent, 26.1 percent, 11.6 percent and 9.2 percent, respectively.
Market watchers in particular have expressed concerns about South Korea’s increasing reliance on auto exports to the U.S. market, noting that a high market share of Korean goods could prompt the next American administration to introduce regulatory measures.
Kim Pil-soo, an automotive professor at Daelim University, stated, “If the trade surplus with the U.S. becomes too large due to increased car exports, even an ally such as South Korea could face measures such as tariffs.”
(Yonhap)
