SEJONG: South Korea’s car exports dropped for 12 months in a row in October due mainly to reduced demand from emerging markets and partial strikes at local carmakers, government data showed Thursday. Outbound shipments of vehicles came to 216,931 units last month, down 13.1 percent from 249,674 units tallied a year earlier, according to the Ministry of Trade, Industry and Energy.
The country’s car exports have been on a steady decline since November last year amid a global slowdown, with the figure posting a seven-year low of 140,506 units exported in August. The total value of overseas shipments also fell 11.8 percent on-year to US$3.37 billion in October, with a 39 percent on-month rise.
For the first 10 months of the year, car exports sank 15.1 percent on-year to 2.07 million units, with the value dipping 14.4 percent to $32.1 billion. “Walkouts at some automakers and slumping demand in emerging countries hindered car exports,” said the trade ministry. Unionized workers of South Korea’s leading automakers — Hyundai Motor Co. and Kia Motors Corp. — have staged a series of strikes in recent months, causing a production disruption in output and exports.
As a result, total output by five local automobile companies slumped 14.2 percent on-year in October to 347,470 units from 405,167 due mainly to the walkouts. Domestic car sales, including sales of imported cars, fell 10 percent on-year to 148,078 units last month partly because of the end of a government-led tax-cut program on passenger cars on June 30.
