SEOUL, Feb. 3 (Korea Bizwire) — The share of recreational vehicles (RVs) including SUVs in the domestic car market topped the 50 percent mark last year for the first time.
According to the data by CarIsYou Data Research Center, 1,494,070 cars were sold in the domestic market last year, of which RVs accounted for 808,639 units or 54.1 percent of the total.
After standing at a mere 38.5 percent in 2016, the share of RVs in the domestic car market has been on an upward trend, surpassing the 50 percent mark last year for the first time in history.
Amid increasing preference for SUVs in foreign markets, including the U.S. and Europe, the domestic sales of RVs that feature ample space and higher convenience increased sharply on the back of the rising popularity of camping and ‘chabak’ (sleeping in a car at a camping site) resulting from the prolonged pandemic.
RVs, in general, have higher profitability than sedans, thereby playing a key role in boosting the financial performance of domestic carmakers.
Kia Corp., for instance, for which RVs account for more than 50 percent of total sales, enjoyed a record-breaking year last year despite the prolonged pandemic and a shortage of semiconductor supplies.
“Domestic demand is shifting towards RVs, including SUVs, and mid- and large-sized sedans.” an industry official said.
Kevin Lee (firstname.lastname@example.org)