Korean auto exports slated to decline for 7th year in row

Korean auto exports slated to decline for 7th year in row

Agency News

Seoul, Dec 1: The auto exports in South Korea, which have been suffering a major slump from the past seven years, are tipped to decline this year too, due to lower demand in emerging markets, local media reported on Sunday.

"The country's auto exports, since hitting a record of 3.17 million units in 2012, have been on a steady decline, and the trend is likely to continue this year", news agency Yonhap said in a report compiled by the Korea Automobile Manufacturers' Association (KAMA). Despite that, the exports witnessed a shrink in the Middle East and the Central American regions, while shipments to the North American and European regions each jumped 11 per cent and 0.3 per cent, respectively, the data revealed.

A large variety of factors have cumulatively led to this situation and it is no secret that the automotive industry is in a bad spot right now. The country's automobile industry is the fifth largest producer of passenger cars in the world. It accounts for 13 per cent of manufacturing output, generates 12 per cent value added, and is a very important industrial area that contributes to about 12 per cent of total employment in South Korea. (UNI)