Semiconductor Shortage Leads to Poor Domestic Car Sales in October (Comprehensive)

Renault Samsung XM3 Exports Increase, Only Model with Sales Growth

[Asia Economy Reporters Changhwan Lee, Jehun Yoo, Gimin Lee] As the global shortage of automotive semiconductors continues, the October sales performance of domestic automakers has shown weakness.

Hyundai Motor Company announced on the 1st that its global sales last month were 307,039 units, down 20.7% compared to the same month last year.

In the domestic market, sales were 57,813 units, a 12% decrease compared to the same month last year. Sedans sold included 9,448 units of Grandeur, 6,136 units of Sonata, and 3,368 units of Avante, totaling 18,978 units.

For RVs (recreational vehicles), 2,582 units of Palisade, 3,494 units of Santa Fe, 2,911 units of Tucson, 3,783 units of Ioniq 5, and 2,506 units of Casper were sold, totaling 18,194 units. Genesis sold 6,119 units of G80, 2,892 units of GV70, and 1,828 units of GV80, totaling 11,528 units.

During the same period, overseas sales were 249,226 units, down 22.5% compared to the same month last year.

Kia also reported sales of 37,837 units domestically and 180,035 units overseas last month, totaling 217,872 units. Domestic sales decreased by 21.2% and overseas sales by 18.4% compared to the same month last year, resulting in an overall sales decline of 18.9%.

The Sportage recorded the highest sales with 31,740 units, followed by Seltos with 27,468 units and K3 (Forte) with 16,627 units.

The decline in sales for both companies is due to production disruptions and supply constraints caused by the global shortage of automotive semiconductors. Although the semiconductor shortage had once been easing, it worsened again in the third quarter due to the resurgence of the COVID-19 Delta variant in Southeast Asia.

A Kia official emphasized, "Despite ongoing management uncertainties caused by semiconductor supply disruptions and the resurgence of COVID-19, we will minimize the impact of supply delays by adjusting production schedules to prioritize models that can be delivered quickly."

Renault Samsung XM3

Korea GM and SsangYong Motors Also Struggle, Renault Samsung Sees Export Improvement

Korea GM sold a total of 6,875 units last month, including 2,493 units domestically and 4,382 units for export. Domestic sales decreased by 64.7% and exports by 82.0% compared to the same month last year.

Korea GM has also been repeatedly reducing production at its Bupyeong Plant 1, which manufactures the strategic model Trailblazer, due to the semiconductor shortage since the beginning of the year.

However, the Traverse was the only model to see an increase in sales despite most models experiencing a decline due to the semiconductor shortage. Last month, Traverse sales rose 3.0% year-on-year to 310 units.

SsangYong Motor sold a total of 4,779 units last month, including 3,279 units domestically and 1,500 units for export, a 53.1% decrease compared to the same month last year.

SsangYong explained that due to the prolonged semiconductor shortage, the backlog of vehicles including domestic and export units has reached 12,000 units, worsening the delivery backlog situation.

Renault Samsung Motors was the only company to increase sales. Renault Samsung reported sales of 11,627 units last month, including 5,002 units domestically and 6,625 units for export.

Domestic sales decreased by 30% compared to the same period last year, but exports surged by 1,590%, resulting in an overall sales increase of 54.3%.

The export of the XM3 reached 4,819 units last month, driving the overall sales growth.

Domestically, sales increased by 13.7% compared to the previous month due to strong sales of the 2022 model SM6. The 2022 model SM6 sold 343 units in its first month, a 124.2% increase compared to the previous month.

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