Kia overtakes Hyundai in South Korean domestic sales amid market slump

South Korean automotive sales saw a significant domestic decline in August, with total sales from the top five manufacturers dropping 28.3% year-on-year to 79,601 units. This downturn was driven by labor strikes at Hyundai Motor Company and reduced working days due to summer holidays.

In a notable shift, Kia surpassed Hyundai in domestic sales for the second consecutive month, recording 40,213 units compared to Hyundai’s 34,333. Hyundai’s domestic sales plummeted 41.1%, largely due to production disruptions from strikes and demand waiting for new models. Kia, however, saw a 5.0% increase in total global sales, supported by a 7.4% rise in overseas markets.

Other manufacturers reported mixed results. GM Korea saw a 9.4% increase in total sales, bolstered by a 12.4% rise in exports. KG Mobility and Renault Korea experienced overall declines, though Renault Korea saw a monthly recovery in exports.

In the United States, Hyundai and Kia achieved record-breaking monthly sales for eco-friendly vehicles in August. Combined, they sold 57,735 hybrid, electric, and hydrogen vehicles, a 15.5% increase from the previous year. Hybrid vehicle sales specifically surged by 47.7% to 50,057 units.