Car sales in S. Korea shrink 2.5% amid weak global demand

Sales of carmakers in South Korea dropped 2.5 percent in August from a year earlier as overseas demand remained weak amid slumping global demand, industry data showed Monday.

The combined sales of five automakers in the country came to 622,542 units last month, compared with the 638,771 units tallied a year earlier, according to data provided by each company.

The decline is attributed to a fall in overseas shipments, which came to 502,142 units, down 5.8 percent from a year earlier.

Their combined domestic sales rose 13.6 percent on-year to 120,400 units.

The cumulative sales for the five carmakers during the first eight months of this year totaled 5,738,685 units, down 2.1 percent from the same period of last year, the data showed.

The five are Hyundai Motor Co., Kia Motors Corp., GM Korea Co., Renault Samsung Motors Co. and Ssangyong Motor Co. The figures excluded complete knockdown kits that are assembled abroad.

Market leader Hyundai Motor saw its sales increase 3.3 percent last month from a year earlier, but its smaller affiliate, second-ranked Kia Motors, logged a 9.9 percent slide in sales over the same period, the data showed.

Ssangyong Motor, the smallest carmaker owned by India's Mahindra & Mahindra Ltd., posted an 11.5 percent rise in sales as brisk domestic demand more than offset a protracted slump in overseas markets. (Yonhap)