South Korea experienced a more than 5% decline in auto exports in April compared to the previous year, primarily due to reduced shipments to the Middle East caused by a geopolitical crisis. Despite this, the country saw a significant rise in domestic sales of electric vehicles, attributed to higher oil prices resulting from the Middle East conflict.
According to data from the Ministry of Trade, Industry and Resources, the total value of automobile exports in April was $6.17 billion, marking a 5.5% decrease from the same period last year. While exports to North America, Latin America, and Oceania increased by 2.4%, 23.7%, and 20.1% respectively, shipments to the Middle East plummeted by 38.7% due to the ongoing US-Iran conflict.
The report also highlighted a 13.5% surge in exports of eco-friendly vehicles, totaling $2.52 billion in April. This growth was mainly driven by a 23.1% increase in sales of electric and hydrogen cars, as well as a 40.2% jump in hybrid car sales. Additionally, domestic sales of vehicles in South Korea rose by 0.7% in April, with eco-friendly vehicles accounting for nearly 60% of total sales.
The popularity of electric vehicles in South Korea saw a significant boost, with domestic EV sales soaring by 139.7% to 38,927 units in April. Notably, US-based Tesla witnessed an 811.5% year-on-year surge in sales to 13,190 units, while Chinese EV manufacturer BYD recorded a 272.6% increase to 2,023 units.
