Consumer confidence boosts South Korean auto sales!

Sales of Korean cars in South Korean market soared last month.

Sales were boosted by the highest consumer confidence levels seen in a year. Last month, the largest Korean automaker and fifth largest carmaker in the world, saw its monthly sales rising by as much as 7.7 percent compared to a year ago.

Hyundai’s domestic sales had risen by 19.1 percent while its exports increased by 4.7 percent compared to the same month from a year earlier. Boosted by last month’s spurt in sales, the company’s accumulative sales for the year reached 1.069.344 units, 2.8 percent more than a year earlier.

The company, which maintained a 50 percent take of the local automotive market for the second consecutive month, said that the continuing popularity of its passenger cars Avante, Sonata and Grandeur were vital in the sales rise.

The three passenger cars produced by Hyundai have held the top three positions in the best selling car category for five consecutive months. The company attributed the rise in exports to the increasing demand for its sport utility vehicles such as Santa Fe and Veracruz in North America and the launch of its compact car i30 in the European market.

The company’s affiliate automaker, Kia Motor Corp. also saw its sales rising by 7.7 percent during May. However, unlike Hyundai, which saw a much larger sales increase on the local market, Kia’s exports rose by 8.8 percent while its domestic sales rose by a relatively low 3.4 percent.

Hyundai and Kia plan to launch a veriety of new models to further boost their sales at home and abroad in the next couple of months. Kia will soon launch an all-new Borrego SUV and facelifted Picanto, while Hyundai may soon redesign a facelifted Sonata.