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Automobile Industry Outlook for 2015
December 8, 2014 – South Korea’s car output is expected to increase in 2015,
according to an industry outlook jointly released today by the Ministry of Trade,
Industry and Energy (MOTIE) and the Korea Automobile Manufacturers
Association (KAMA).
The global automobile industry is showing signs of recovery thanks to US and
European economic recovery and steady economic growth in China and India.
However, demand could still shrink due to economic recession in emerging
markets, the MOTIE said in its statement.
In 2015, the country’s vehicle production and exports are expected to rise,
thanks to continued growth in exports to North America, also a reduction in
tariffs on cars, and high domestic demand for replacement of older vehicles.
Under the South Korea-EU FTA, tariffs on vehicles with emissions of less than
1500cc will be additionally reduced from 3.3 percent to 1.6 percent from July
2015.
2015 Automobile Industry Outlook
(Thousand units, US$ hundred million, %)
2013
2014 (Estimated)
Growth
2015 Outlook
Growth
Growth
Domestic production
4,521
-0.9
4,450
-1.6
4,500
1.1
Overseas production
4,108
13.0
4,400
7.1
4,600
4.5
Exports
3,089
-2.6
3,050
-1.3
3,100
1.6
486
261
3.0
6.0
496
265
2.0
1.6
512
270
3.2
1.9
1,540
-0.1
1,610
4.2
1,650
2.5
Domestic cars
1,383
-2.7
1,400
1.2
1,400
0.0
Imported cars
156
20.0
210
29.7
250
19.0
(Value)
Auto parts (Value)
Domestic sales
Source: KAMA
Estimated figures show that domestic sales of finished cars increased 8.2
percent in the year to last month thanks to restyling and strong sales of imported
cars.
Vehicle output and exports decreased 4.7 percent and 4.0 percent respectively in
November from a year due to market uncertainty in Eastern Europe and General
Motors’ withdrawal of its Chevrolet brand from Western Europe.
Auto parts sales fell 9.3 percent in November from a year earlier due to
continued recession in emerging markets.
Car Industry Trend for November, 2014
(Unit: %, US$ million)
Production
406,491
Month-onmonth
11.5
Domestic sales
144,909
4.5
8.2
1,488,414
6.1
Domestic cars
124,514
3.1
3.8
1,294,260
2.8
Imported cars
20,395
13.6
46.4
194,154
34.6
Exports
274,757
13.9
-4.0
2,760,040
-1.4
(Value)
43.5
-15.0
-5.5
441.9
0.6
19.5
-20.4
-9.3
24,325
2.3
Nov. 2014
Auto parts (Value)
Year-on-year
Jan.-Nov. 2014
Year-on-year
-4.7
4,090,162
-0.3