Domestic New Car Sales in February Reach 101,735 Units... Up 23.9% YoY

RV Vehicle Strength Continues... Accounting for 55% of All Passenger Models

Imported cars are waiting to be shipped at Pyeongtaek Port, as seen from a Seoul Metropolitan Police Agency helicopter on the 10th, one day before the Lunar New Year holiday./Photo by Jinhyung Kang aymsdream@

[Asia Economy Reporter Yoo Je-hoon] Domestic new car sales in February were tentatively tallied at 101,735 units.

According to the February Automotive Industry Trend Report published by the Korea Automobile Manufacturers Association (KAMA) on the 18th, new car sales in February increased by 23.9% compared to the same period last year, reaching 101,735 units. Cumulative new car sales for February also rose by 19.9% year-on-year.

Although the number of business days in February decreased by 3 days to 17 due to the Lunar New Year holiday, the association analyzed that the sales increase was driven by the base effect from last year's COVID-19 impact, new car effects in the industry, and the decision to reduce the individual consumption tax by 30%.

By manufacturer, domestic sales increased for all companies except SsangYong Motor. Hyundai Motor saw a 32.6% increase, continuing strong sales mainly of mid-to-large sport utility vehicles (SUVs) such as Tucson and Palisade, as well as large sedans like Genesis and Grandeur. Kia also experienced a 31.0% increase, led by leisure vehicles (RVs) such as Carnival and Sorento driving domestic sales.

Korea GM recorded a 2.4% increase due to strong sales of compact cars and SUVs like Spark and Trailblazer, along with last-minute demand for discontinued models Damas and Labo. Renault Samsung also grew by 6.2% thanks to strong SUV sales including QM6 and SM3. However, SsangYong Motor saw a 47.6% decrease compared to the same month last year due to production disruptions caused by some parts suppliers refusing deliveries.

By vehicle type, mid-size sedans declined by 4.9% year-on-year due to the absence of new models and aging of some models. In contrast, RV vehicles saw a significant increase of 45.3% driven by new models and SUV sales effects. As a result, the share of RV vehicles among all passenger car models reached 55.0%.

By model, Hyundai Grandeur maintained its top position following the previous month, followed by Kia Carnival, Hyundai Tucson, Kia K5, and Hyundai Avante.

Meanwhile, exports in February were recorded at 161,886 units, a 35% increase year-on-year due to recovery in global demand from the US, Europe, and other markets. Export value rose by 47.0% to $3.53 billion, driven by an increased share of high value-added models such as SUVs and electric vehicles.

February production increased by 37.9% to 260,958 units despite reduced factory operating days due to the Lunar New Year holiday, supported by the base effect from last year's COVID-19 impact and simultaneous growth in domestic sales and exports.

This content was produced with the assistance of AI translation services.