US Auto brands rank No. 2 in imported car sales in South Korea in 2020

US Auto brands rank No. 2 in imported car sales in South Korea in 2020. 

This photo provided by Ford Korea on January 6, 2021, shows the new Ford Explorer SUV. (Ford Korea) American automakers overtook Japanese brands to rank second in South Korea’s imported car market last year, a report showed Sunday, taking advantage of local consumers’ boycott of products. Japanese over wartime trade and legacy disputes.

A total of 46,000 American automakers were sold in South Korea last year, accounting for 15.2 percent of total imported car sales, according to data from the Korea Automobile Manufacturers Association (KAMA).

German brands topped the rankings with 187,000 units for a 61.7 percent market share, while Japanese manufacturers fell to third place after their sales reached just 21,000 units for a 7 percent share.

Japanese car sales have declined for two consecutive years in South Korea since Tokyo imposed restrictions on Seoul’s exports in 2019, while prolonged forced labor during the war and sexual slavery problems also deteriorated the bilateral relationship between the two nations.

By contrast, US vehicle sales have increased since 2017, benefiting from the three free trade agreements between the United States and South Korea.

The data showed that South Korea became America’s ninth-largest car market in 2020 after Americans shipped 67,000 vehicles, or 2.8 percent of their total auto exports, to Seoul.

KAMA said that the market share of South Korean brands in the US auto market is also expanding. However, Hyundai Motor Co. and Kia Corp.’s combined market share reached 8.5 percent in 2020, which is close to its most significant market share of 8.9 percent in 2011.

Hyundai and Kia combined for a 9.4 percent market share in the US in the first five months of 2021.

Increasing GM Korea Co.’s auto exports has also helped expand South Korean-made vehicles in the US.

The South Korean unit of General Motors Co. shipped 233,000 units to the United States last year. According to KAMA, of the 227,000 small SUVs sold in the United States, 80.2 percent, or 182,000 units, were produced by GM Korea.

 

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