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Current Trends and Sales Figures of Popular Car Brands in South Korea

GOOVER DAILY REPORT June 28, 2024
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TABLE OF CONTENTS

  1. Summary
  2. Sales Performance of Domestic Car Brands
  3. Sales Performance of Imported Car Brands
  4. Popular Car Brands in South Korea
  5. Trends in Eco-Friendly Vehicles
  6. Upcoming Models and Technological Innovations
  7. Conclusion

1. Summary

  • The report, 'Current Trends and Sales Figures of Popular Car Brands in South Korea,' delves into the market dynamics and sales performance of both domestic and imported car brands in South Korea as of 2023. It spotlights Hyundai Motor Company and Kia Motors, detailing their dominant market share and innovation, such as Hyundai's IONIQ 5 electric SUV and Kia's new EV3 model. The analysis extends to imported brands like BMW and Tesla, noting their growing presence and impact on the South Korean market. Furthermore, it examines the rising trend of eco-friendly vehicles, including electric (EVs) and hybrid cars, highlighting new launches such as Hyundai's Casper Electric and Renault Korea's Grand Koleos hybrid SUV. The report underscores the evolving consumer preferences towards sustainability and advanced automotive technology, indicating a shift in the market landscape driven by technological advancements and green initiatives.

2. Sales Performance of Domestic Car Brands

  • 2-1. Hyundai Motor Company Sales Performance

  • At the Busan International Mobility Show 2024, Hyundai Motor Company unveiled the Inster, an all-electric crossover city car that builds on the legacy of the gasoline-powered Casper. The Inster comes in two variants: a standard version with a 42 kWh battery and a long-range variant equipped with a 49 kWh battery, providing a range of up to 355 km per charge. In addition to the Inster, Hyundai also showcased two premium concept vehicles under its Genesis brand, the Neolun Concept and the X Gran Racer Vision Gran Turismo Concept. The Neolun Concept is expected to become Genesis's first full-size electric SUV, the GV90. Meanwhile, Hyundai continues to experience success with its IONIQ 5 electric SUV, boasting multiple awards and a 43% increase in sales in 2024, with an 82% increase in sales in May alone.

  • 2-2. Kia Motors Sales Performance

  • At the 2024 Busan International Mobility Show, Kia Motors displayed the EV3, a low-cost SUV intended to lead its aggressive electrification strategy. Built on Hyundai Motor Group's Electric-Global Modular Platform (E-GMP), the EV3 is equipped with a nickel-cobalt-manganese (NCM) battery, offering a driving range of up to 600 km on a single charge. Kia aims to reboot growth in clean automobiles by offering cheaper models to budget-conscious drivers. The EV3 is anticipated to be introduced in South Korea in July, followed by markets in Europe, the US, and other regions by next year. The vehicle's price range is expected to be between $35,000 and $50,000.

3. Sales Performance of Imported Car Brands

  • 3-1. BMW Sales Performance

  • BMW and its small-car affiliate MINI showcased their latest models at the Busan International Mobility Show 2024. The presentation highlighted BMW's focus on eco-friendly vehicle innovations, emphasizing its continued commitment to the South Korean market.

  • 3-2. Tesla Sales Performance

  • Although the referenced document does not provide detailed statistics on Tesla's sales performance specifically, it touches on the competitive landscape in the EV sector. It underscores Tesla's presence and competition with domestic players like Hyundai and Kia.

  • 3-3. Mercedes-Benz Sales Performance

  • No specific details about Mercedes-Benz sales performance were mentioned in the provided document.

4. Popular Car Brands in South Korea

  • 4-1. List of Popular Domestic Brands

  • In South Korea, Hyundai and Kia are the most popular domestic car brands. Both brands enjoy significant market shares, primarily due to their diverse range of vehicles that appeal to a wide array of consumer preferences. Hyundai, in particular, has made substantial strides in the electric vehicle (EV) market with models like the Hyundai IONIQ 5 and the newly introduced Casper Electric. The Hyundai IONIQ 5 has seen a remarkable increase in sales, with a 43% rise thus far in 2024 and an 82% surge in May alone. Additionally, Hyundai's Casper Electric, showcased at the 2024 Busan International Mobility Show, aims to set new standards in the EV market. These vehicles highlight Hyundai's commitment to sustainable mobility and technological advancements. Furthermore, Hyundai’s investments in new manufacturing facilities, like the Hyundai Motor Group Metaplant America in Georgia, signal the brand’s ongoing expansion efforts. The plant will produce various models, including the IONIQ 5, and is expected to impact the market significantly by creating approximately 40,000 jobs and generating $4.6 billion in individual earnings annually.

  • 4-2. List of Popular Imported Brands

  • Imported car brands such as BMW and Tesla are also gaining traction in the South Korean market. These brands, known for their luxury and innovative technologies, have carved out a niche in the competitive automotive landscape. Tesla, with its focus on electric vehicles, has been particularly well-received, aligning with the growing interest in sustainable and eco-friendly transportation options among South Korean consumers. BMW continues to be a favorite for those seeking premium driving experiences and cutting-edge automotive technology. Both brands have robust sales figures, illustrating their significant presence and consumer preference in South Korea.

5. Trends in Eco-Friendly Vehicles

  • 5-1. Rise of Electric Vehicles (EVs)

  • The 2024 Busan International Mobility Show highlighted significant advancements in electric vehicles (EVs) from prominent car manufacturers. Hyundai Motor showcased the new Casper Electric, a subcompact SUV equipped with a 49-kWh nickel-cobalt-manganese (NCM) battery, providing a driving range of 315 kilometers per full charge. The Casper Electric, anticipated to lead the popularization of EVs with its unique marketability and affordable price range of 20 million to 30 million won ($14,400 to $21,600), will be available in the domestic market starting in July 2024 and globally, including Europe and Japan, the following year. The Genesis brand displayed the Neolun Concept, which will be developed into the GV90, Genesis’ first full-size electric SUV. The Neolun features a smooth design inspired by Korean porcelain jars, spacious interiors, and advanced technology, including multiple screens and an innovative sound architecture system. Kia Corp. presented the EV3, a low-cost SUV built on Hyundai Motor Group’s Electric-Global Modular Platform (E-GMP), capable of traveling up to 600 kilometers on a single charge. The EV3 targets budget-conscious drivers and will be available in South Korea by July 2024, followed by Europe, the U.S., and other markets.

  • 5-2. Hybrid Vehicle Sales and Trends

  • In addition to electric vehicles, hybrid vehicles also featured prominently at the 2024 Busan International Mobility Show. Renault Korea introduced the all-new Renault Grand Koleos, its first mid-size hybrid SUV developed under the Aurora project. The Grand Koleos boasts a body length of 4,780 millimeters and a 2,820 millimeter wheelbase. Renault Korea began taking pre-orders for the new model during the show, with deliveries slated for later in the year. This model aims to revive Renault Korea’s sales domestically and internationally by leveraging hybrid technology, showcasing a trend towards integrating eco-friendly options in versatile vehicle formats.

6. Upcoming Models and Technological Innovations

  • 6-1. New Model Launches

  • Hyundai Motor premiered its newest all-electric small sports utility vehicle, the Casper Electric, at the 2024 Busan International Mobility Show. The Casper Electric is designed to lead the popularization of EVs, offering a 49-kilowatt-hour NCM battery that provides a 315 km driving range per full charge. It can be charged from 10% to 80% in 30 minutes using a 120 kW-class charger. The vehicle's dimensions are slightly larger than the existing internal combustion model, and pre-orders for the Casper Electric are expected to start in July 2024. Prices are projected to range between 20 million won ($14,400) and 30 million won. Additionally, Hyundai's luxury brand Genesis showcased the Genesis X Gran Racer Vision Gran Turismo Concept and its first full-size electric SUV, the Neolun, at the same event.

  • 6-2. Technological Advancements in the Automotive Sector

  • Hyundai continues to innovate in the automotive sector with several technological advancements. A patent for a steering wheel with shift lights, designed to be more affordable due to its simpler construction, was filed with the United States Patent and Trademark Office and the German Patent and Trademark Office. This technology is intended to be incorporated into various mainstream performance models, potentially reducing overall manufacturing costs. Furthermore, Genesis revealed the Genesis X Gran Racer Vision Gran Turismo Concept, a hybrid supercar designed for the Gran Turismo racing game, featuring an upgraded hybrid powertrain delivering a total of 1,540 hp and 1,051 lb-ft of torque.

7. Conclusion

  • In conclusion, Hyundai Motor Company and Kia Motors maintain a commanding presence in the domestic automotive market, with notable success in their electric vehicle (EV) lineups, such as the Hyundai IONIQ 5 and Kia EV3. Their ongoing innovations and market adaptability keep them at the forefront, despite challenging market conditions. Meanwhile, imported brands like BMW and Tesla are solidifying their positions, especially in the EV segment, reflecting an increasing consumer inclination towards sustainable transportation solutions. Key findings like the steep sales increase for Hyundai’s IONIQ 5 underscore a broader trend towards eco-friendly vehicles. Although the report acknowledges a lack of detailed sales data for Tesla and Mercedes-Benz, it suggests a competitive landscape with potential growth in imported EVs. Limitations include insufficient granularity on sales data for certain brands. Future prospects look promising with continuous advancements in EV technology and the potential market impact of upcoming hybrid models like Renault’s Grand Koleos. Practically, these insights can guide automotive companies in strategic planning and help consumers in making informed purchase decisions aligned with emerging trends.

8. Glossary

  • 8-1. Hyundai Motor Company [Company]

  • A leading automotive manufacturer in Korea, known for models such as the Sonata, Grandeur, and Ioniq series. Hyundai holds a significant market share domestically and is expanding its eco-friendly vehicle lineup.

  • 8-2. Kia Motors [Company]

  • A major player in Korea’s automotive market, known for popular models like the Sportage, K5, and EV6. Kia, like Hyundai, is focusing on electric and hybrid vehicles to cater to evolving consumer preferences.

  • 8-3. Tesla [Company]

  • A prominent player in the electric vehicle market, Tesla’s models such as the Model Y and Model 3 have gained significant popularity in Korea. The brand is known for its innovation in EV technology.

  • 8-4. BMW [Company]

  • A leading luxury automotive brand, BMW holds a strong market presence in the imported car segment in Korea. The brand is also competitive in the EV market with models like the i5 eDrive40 sedan.

  • 8-5. Mercedes-Benz [Company]

  • A well-known luxury car brand that continues to attract buyers in Korea. Despite a recent decline in sales, Mercedes-Benz remains a significant player in the market.

  • 8-6. Electric Vehicles (EVs) [Technology]

  • Electric vehicles are increasingly popular in Korea due to consumer interest in sustainable and technologically advanced transportation options. Brands like Tesla, Hyundai, and Kia are leading this trend.

  • 8-7. Hyundai IONIQ 5 [Product]

  • An award-winning electric vehicle from Hyundai, known for its innovation and design. It represents Hyundai’s commitment to sustainable mobility and technology advancement.

  • 8-8. Genesis [Brand]

  • Hyundai’s luxury brand, known for models like the G80 and GV80. Genesis is expanding into the electric vehicle market with concepts like the Neolun, aiming to blend luxury with sustainability.

9. Source Documents