South Korea’s automotive industry experienced an increase in overseas demand in the first half of 2024, achieving a record $37 billion in auto exports. According to a report by the Ministry of Trade, Industry and Energy, which was covered by Yonhap News Agency, this figure increased by 3.8% compared to the same period last year. This increase is primarily due to the increase in global appetite for hybrid vehicles. The country exported a total of 1,467,196 vehicles from January to June, an increase of 3.2% year-on-year. Despite this uptrend, June saw a slight decline in auto exports, which fell 0.4% to $6.2 billion, which the ministry attributed to a reduction in the number of working days.
Continuing the strong trend, South Korea’s monthly car exports have consistently exceeded $6 billion since November last year, with the exception of February, which saw a decline due to national holidays. This strong performance underscores the resilience and competitive advantage of the Korean automotive industry on the global stage. However, not all metrics point upwards. Domestic car production decreased by 2.4 percent to 2,145,292 units in the first half of the year.
In addition, domestic car sales also fell by 10.7% to 798544 units in the same period. Despite these mixed results, the South Korean government remains optimistic about the growth prospects of the auto sector, setting an ambitious target of $100 billion in auto and auto parts exports for this year. In addition, with the aim of maintaining and strengthening Korea’s pivotal role in the global automotive market, it has committed to continuous support to strengthen the sector’s exporters.