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India.com
05-08-2025
- Automotive
- India.com
Tesla Reclaims Top Spot In Monthly Imported Car Sales In South Korea
Seoul: US electric vehicle major Tesla reclaimed the top spot in South Korea's imported car market in July, driven by strong sales of its Model Y, industry data showed on Tuesday. According to the Korea Automobile Importers & Distributors Association (KAIDA), 27,090 imported passenger cars were newly registered last month, up 23.3 percent from 21,977 units the previous year, reports Yonhap news agency. KAIDA attributed the sales growth to improved supply conditions for certain brands compared with last year. Tesla topped the list with 7,357 units sold in July, reclaiming the No. 1 spot after losing it in June. The U.S. EV maker first topped the list in May. BMW followed with 6,490 units sold in July, while Mercedes-Benz ranked third with 4,472 units. Tesla's Model Y was the best selling model with 6,559 units sold, followed by the BMW 520 with 1,292 units and Tesla's Model 3 at 798. By fuel type, hybrids accounted for 49.7 percent of sales at 13,469 units, followed by EVs at 37.6 percent, gasoline models at 11.5 percent and diesel cars at 1.2 percent. Meanwhile, imported vehicle registrations in South Korea have surged 38-fold over the past three decades, driven by diversifying consumer tastes, an industry association said. Annual imported car registrations rose from just 6,921 units in 1995 to 263,288 last year, the Korea Automobile Importers and Distributors Association (KAIDA) said in a press release. "Imported brands will continue to offer diverse and differentiated options for Korean customers, as they have over the past 30 years," KAIDA Vice Chairman Jung Yoon-young said. In the first half of this year, imported car sales climbed 9.9 percent from a year earlier to 138,120 units, fueled by strong demand for German models and U.S. electric vehicle (EV) maker Tesla Inc. Three German automakers -- Volkswagen Group Korea, BMW Group Korea and Mercedes-Benz Korea -- sold a combined 84,211 vehicles in the January-June period, up 12 percent on-year. KAIDA's membership grew from eight companies in 1995 to 23 as of June this year, with vehicles now sold under 30 different brands. In March, Chinese EV maker BYD Co. joined the association as it seeks to expand its presence in Asia's fourth-largest economy. Imported brands made up 18.3 percent of South Korea's passenger vehicle market last year, up sharply from just 0.6 percent in 1995, the association said.
Korea Herald
03-07-2025
- Automotive
- Korea Herald
Peugeot unveils new hybrid SUV to reclaim ground in Korea
Stellantis Korea is ramping up efforts to revive its fading presence in the Korean market with hybrid models, adding a new hybrid sport utility vehicle to its lineup, combining the brand's signature design with competitive pricing. On Thursday, the company unveiled the all-new Peugeot 3008 Hybrid at a media preview event in Seoul, announcing that official sales will begin on July 11. The mild hybrid SUV is the third hybrid model Peugeot has introduced in Korea in 2025, following the launch of the 308 hatchback in April and the 408 sedan in June. With the upcoming launch, the French automaker aims to strengthen its presence as hybrids and SUVs continue to gain popularity among Korean consumers, particularly in the imported car market. 'This year, SUVs account for more than 50 percent of the imported car market, highlighting Korea's growing demand for the segment,' said Bang Sil, managing director of Stellantis Korea. "Additionally, the fact that one out of every two imported new cars is a hybrid model shows that hybrid powertrains are increasingly becoming the standard choice for our customers, beyond just being an environmental alternative." Peugeot's footprint in Korea has shrunk significantly since peaking at around 7,000 units in 2015. According to the Korea Automobile Importers & Distributors Association, sales dropped to just 947 units last year — a plunge of more than 50 percent from the previous year — and slid another 21.4 percent year-on-year in the first half of 2025. The downturn is largely blamed on a shortage of service centers and the absence of hybrid options in Peugeot's lineup. In response, the automaker is rolling out its proprietary 'Smart Hybrid' powertrain in Korea — an advanced mild hybrid system capable of low-speed electric driving with a more compact drivetrain. Peugeot also pledged to expand and make its customer service network more accessible and affordable to win back consumers. However, previously launched hybrid models have had a limited impact, selling only 32 units. Stellantis Korea is now placing greater emphasis on the new SUV by highlighting its pricing appeal. The fully redesigned 3008 starts at 44.9 million won ($32,998), with the top-tier GT trim priced at 49.9 million won. This matches the launch price of the previous model introduced in 2017 and is lower than prices in major markets such as France, the United Kingdom and Japan. As the first Peugeot model built on Stellantis' STLA Medium platform for electrified vehicles, the new 3008 offers a more spacious interior, with its length increased by 90 millimeters and height by 20 millimeters compared to the previous generation. The SUV also features a sleeker, more dynamic exterior with a soft fastback silhouette and sloping roofline, paired with Peugeot's signature lion-claw daytime running lights. Inside, it adopts a floating-style 21-inch panoramic curved display, enhancing integration across cockpit systems and reducing driver eye movement while driving — blending the brand's signature design with improved safety considerations, the company said. 'With its refined design, excellent product quality, and balanced pricing, I'm confident that the all-new 3008 Hybrid will appeal to Korean customers with high standards who value both sophistication and practicality,' the managing director added.
Korea Herald
20-06-2025
- Automotive
- Korea Herald
Volvo's XC40 tops rivals in H1 sales as limited editions fuel demand
Volvo's compact sport utility vehicle, the XC40, topped sales in its segment for the first half of this year, according to the Korea Automobile Importers & Distributors Association on Friday. The XC40 sold 1,105 units between January and May, outpacing strong competitors such as the BMW X1 (1,063 units), MINI Countryman (716 units) and Audi Q3 (475 units). Since its global debut in 2017, the XC40 has consistently been a bestseller, particularly in Europe, where it has led the premium compact SUV segment for four consecutive years since 2020. It was also named the 2018 European Car of the Year. Despite being Volvo's entry-level SUV, the XC40 features flagship-level specifications. It comes equipped with advanced driver assistance systems such as Pilot Assist, as well as high-end interior elements including Driftwood inlays, a crystal gear shift knob by Swedish brand Orrefors and Harman Kardon premium sound system. The model also includes an integrated Tmap infotainment system tailored for Korean consumers. Volvo Car Korea has further enhanced the customer experience with a five-year or 100,000-kilometer warranty, complimentary consumables replacement, 15 years of free over-the-air updates, and a five-year 5G digital package. Priced at 54.9 million ($40,100), the top Ultimate trim offers a more affordable option compared to its overseas counterparts, including the US and UK, up to 29 million won cheaper. Online-exclusive editions have also amplified the model's appeal. The 100 units of the latest XC40 Black Edition sold out within just 15 minutes of its release on Tuesday. Earlier limited editions, such as the Sage Green and Dark Editions, also sold out within minutes of launch. Volvo Car Korea has maintained its position as the top importer since January, with consistent monthly sales of over 1,000 units, competing closely with Tesla, Lexus and Porsche in the best-selling segment of the Korean import car market.
Korea Herald
17-06-2025
- Automotive
- Korea Herald
From stigma to status symbol: Lime-green plates lose bite after a year on the road
Corporate registrations of high-end imported cars jump 27%, raising questions over deterrent effect The lime-green license plate, introduced last year to curb the misuse of high-priced corporate vehicles, is facing growing skepticism over its effectiveness, as it is increasingly seen as a symbol of success rather than a social stigma. The number of luxury imported cars registered under corporate names has jumped 27 percent this year, following last year's sharp decline, which was widely attributed to the new plate system. The rebound has raised concerns that vehicles intended for private use may once again be registered as corporate cars. According to the Korea Automobile Importers & Distributors Association, the number of imported cars priced over 100 million won ($73,000) registered under corporate names rebounded to 16,351 between January and May this year, up from 12,795 during the same period last year. The proportion of corporate registrations among all imported vehicles at that price point also rose to 58 percent, up from 54 percent the previous year. Luxury carmakers with higher-priced models showed even greater shares of corporate registrations. Ferrari and Lamborghini, whose vehicles are priced over 100 million won in Korea, each sold 158 units between January and May — with corporate purchases accounting for 89 percent and 78 percent of those sales, respectively. They were followed by Maserati at 73 percent, Rolls-Royce at 71 percent, and Bentley at 67 percent. The so-called German Big Three — BMW, Mercedes-Benz and Audi — also recorded corporate registration rates exceeding 50 percent. This rise follows a notable decline in the same period of 2024, when the number of such vehicles fell by 30 percent year-on-year, and the corporate registration ratio decreased from 64 percent the year before. These vehicles fall under the lime-green license plate policy, which applies to newly registered corporate cars priced over 80 million won. The system was designed to make such vehicles more easily identifiable to the public, based on the belief that increased visibility would lead to more reporting of non-business use and, in turn, help deter misuse of corporate vehicle benefits. Under Korean income tax law, businesses can deduct up to 15 million won per year from their taxable income by claiming vehicle-related expenses as business costs, without objective proof of business use, such as a driving log. While the industry has consistently denied that the new license plate had any meaningful impact, arguing that the earlier decline in corporate registrations was driven by a shortage of new models and global supply chain disruptions, the market response to the scheme was still noticeable. Fearing detection, some even tried to evade the distinctive plates by manipulating contract prices below the 80-million-won threshold or registering vehicles under personal insurance before switching to corporate coverage, according to Rep. Kim Eun-hye of the main opposition People Power Party. However, the recent rebound in the high-priced corporate vehicle registrations reflects an apparent decrease in such worries, experts say. 'When it was first introduced, it was effective. We often refer to it as a 'nudge phenomenon,' where people felt psychological pressure to comply,' said Kwon Yong-joo, an automotive design professor at Kookmin University. 'But as more people began receiving high-end vehicles under corporate names, it started to feel normalized, like, 'oh, I guess it's okay for us to drive them too.'' This diminishing sense of concern is also felt on the ground. 'Some buyers of sports cars (which are generally not considered business-oriented) may have initially been wary of the regulation, but that seems not to be the case now,' said an official from a luxury automobile brand. 'There is little customer reaction to the license plate these days, likely because time has passed since the system was introduced,' said another official at an imported car dealership. Experts are calling it a predictable failure, arguing that the color change did little more than incur additional costs, including the need to recalibrate traffic cameras. 'The policy seemed intended to create a stigma effect through the distinctive color, but now, some even treat it as a symbol of success,' said Kim Pil-su, a professor of automotive engineering at Daelim University, referring to social media posts that praise how the lime-green plate complements a luxury car's design. 'The misuse deterrence system should start from the basics, clearly defining where corporate vehicles are permitted to operate, and thoroughly managing driving logs and GPS records.'
Yahoo
11-06-2025
- Automotive
- Yahoo
South Korea imported vehicle sales rise 16% in May
Sales of imported light passenger vehicles in South Korea rose by over 16% to 28,189 units in May 2025 compared with 24,209 units a year earlier, according to registration data released by the Korea Automobile Importers & Distributors Association (Kaida). The association attributed last month's strong market performance to improved inventory of new models, following shortages in previous months. Hybrid vehicles accounted for over 53% of total import sales last month, followed by battery electric vehicles (BEVs) with 34% and internal combustion engine (ICE) models with just under 13%. Import sales in the first five months of the year increased by 10% to 110,341 units from 100,352 units a year earlier. Overall demand for new vehicles in South Korea remains sluggish, amid weak domestic economic growth and high consumer debt. Domestic sales of vehicles produced by the five main local manufacturers rose by just over 2% to 569,885 units in the same period, underpinned mainly by new models from Hyundai and Kia. German-owned brands accounted for almost 65% of total import sales year-to-date, with some 71,800 units combined, led by BMW with a 10% rise to 31,727 units, while its Mini subsidiary saw its sales plunge by 27% to 2,643 units. Together, the two brands accounted for 31% of total import sales. Mercedes-Benz saw its sales rebound by 14% to 26,538 units in this period, while Volkswagen Group reported a 24% jump to 10,791 units, thanks mainly to strong rebounds by Porsche and Audi. US EV maker Tesla saw its sales rose by 6% to 12,835 units year-to-date, while Volvo's sales fell slightly to 5,700 units. Toyota's sales fell by 5% to 3,691 units, while its Lexus division enjoyed an 18% rise to 6,364 units. Chinese automaker BYD, which officially entered the market earlier this year, has delivered 1,066 vehicles so far. The company said it aims to have 30 sales outlets in place by the end of the year. "South Korea imported vehicle sales rise 16% in May" was originally created and published by Just Auto, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
