Ministry of Trade, Industry and Energy of the Republic of Korea

09/18/2020 | Press release | Distributed by Public on 09/17/2020 23:43

Korea's August EV exports grow 22.2%, share of domestic green car sales set new record

The Ministry of Trade, Industry and Energy announced on September 18 that Korea's automobile output, domestic sales, and exports in August decreased 6.4 percent, 1.2 percent, and 15.8 percent, respectively.

The number of vehicles produced by Korean automakers recorded a year-on-year decline of 6.4 percent to 233,357 units. The primary reason for the decline was the resurgence of COVID-19 and temporary shutdowns of major plants due to the new vehicle line facility constructions at Hyundai and Kia.

Domestic sales in August edged down 1.2 percent to 135,349 vehicles due to fewer working days (1 day less) and social distancing guidelines. Local sales of Korean-made cars decreased 4.9 percent to 111,190 units, while those of imported cars climbed up 20.7 percent to 24,159 units.

Local sales of green cars soared 85.4 percent to 15,930 units compared to the same period in 2019. The share of green car sales went up to 11.8 percent of total domestic sales, the largest in history. All types of eco-friendly vehicles significantly increased in sales: hybrid electric vehicles (HEVs, up 89.1 percent to 10,821 units), electric vehicles (EVs, up 64.3 percent to 3,849 units), plug-in hybrid electric vehicles (PHEVs, up 109.7 percent to 585 units), and FCEVs (up 173.3 percent to 675 units).

Outbound shipments of automobiles in August contracted 15.8 percent to 136,538 units. The decline was attributable to the high overseas inventory and the new facility line construction at Hyundai and Kia. However, the export value went down by a smaller percentage (down 12.8 percent) due to the growth in export share of relatively high-value added eco-friendly vehicles and sports utility vehicles (SUVs).

Green car exports lost 16.4 percent to 16,490 units, but EVs expanded 22.2 percent to 6,978 units, rising as new export growth engines in the post-corona world. Growth in EV exports was led by the spike in Niro EV sales (up 173.9 percent to 3,391 units).

Korea's August shipments of auto parts dipped 27.0 percent to $1.3 billion due to the production adjustment at finished car plants overseas, but they showed signs of recovery.

*Short version