Korean automakers' global market share reaches 8%, suggests 'V-shaped' recovery

In first half of this year, Korean automakers sold 2,297,000 units worldwide, reducing gap with 2,303,000 units sold in first half of 2019. In first half of this year, global market share for Korean carmaking industry climbed by 0.6% from 7.4% in first half of 2019 to 8.0%. 

Car sales in global top seven automobile markets, including United States of America, China, Europe, India, Mexico, Russia, and Brazil, increased 30.6% to 28.57 million units in first half of last year, according to Korea Automobile Manufacturers Association (KAMA), indicating a 'V-shaped' rebound. However, this is down 8.0% from 31.04 million units sold in first half of 2019.

India had highest rise

India had highest year-over-year rise of 95.2%, followed by Russia at 38.2%.  United States registered a rise of 29.3%, China 27.5%, Europe 27.1%, Brazil 26.3%, and Mexico 18.1%. India (1.5%) and Russia (6.0%) experienced good growth rates in first half of 2019. Prior to COVID-19, United States (1.3%) and China (1.1%) had similar levels. Brazil (24.6%), Europe (23.2%), and Mexico (19.6%) recovered at a slower pace.

Due to base effect of a steep decline in sales induced by lockdown to contain COVID-19 last year, Indian market recovered fastest. With impact of ecomic policies and a higher vaccination rate in United States, sales have returned. With a jump in sales of new energy vehicles (NEVs) such as EVs (217.4%), sales in Chinese market have nearly recovered to pre-COVID-19 levels.

However, because of return of COVID-19 in European countries and production delays (about 100,000 to 120,000 units) caused by a global semiconductor scarcity for automobiles, European market has seen a somewhat delayed comeback.  market share of Asian automobile businesses (Korea, China, and Japan) climbed from 47.8% last year to 50.6% this year, owing to quick recovery of global markets.

Korean community has increased market share in US, Europe and India

Local Chinese businesses, particularly electric vehicle (EV) enterprises, have expanded primarily in domestic markets in China. By improving product lines to meet clients for SUVs and electrification models, Korean community has recently increased its market share in US, European, and Indian markets. Korean automakers' global market share climbed fast in first half of year, rising from 7.4% in 2019 to 7.6% in 2020 and 8.0 per cent this year. 

(Inputs from ANI, Im: AP)