South Korea’s auto production, exports, and domestic sales all saw double-digit growth in February compared to a year ago.
According to the Ministry of Trade, Industry, and Energy on March 18, domestic car production reached 351,983 units last month, up 17.1% from the same period last year. This marks the first time in 11 years that February’s monthly production has exceeded 350,000 units, since February 2014, when over 360,000 units were produced.
Exports also rose 17.3% year-on-year to 232,978 units, while export value climbed 17.8% to $6.07 billion, surpassing $6 billion for the first time in February. A key driver was hybrid car exports, which surged 61.7% on-year. The U.S. accounted for about 45% of February’s total auto export value, reaching $2.76 billion.
Domestic sales grew 14.8% on-year to 132,855 units, supported by a government tax cut that reduced the individual consumption tax on passenger cars by 30% (capped at 1 million won) through the first half of the year. The government also revised and implemented EV subsidies earlier than planned, driving electric vehicle sales up 298.1% from a year earlier to around 14,000 units.
