Subaru stops sales in Korea

Subaru announced it is getting out of Korea and will not sell or import any more cars beginning next Monday.

Subaru Korea, the official importer and distributor of the auto brand, said yesterday it will sell no more new cars although it will keep offering after-sales services, such as providing auto parts, to existing customers.

“All of our employees made their best efforts to provide excellent quality cars at low prices to Korea, but with fierce competition, our losses were accumulating and we decided to make this heartbreaking decision,” the company said in release.

The local unit, which was launched in May 2010, said it negotiated with Fuji Heavy Industries, the maker of Subaru cars, about supplies for 2013, but couldn’t come to agreement on the launch of new models and import costs.

Subaru Korea reached agreement with Fuji Heavy Industries not to import any more cars to sell on the Korean market. However, Subaru Korea said it will cooperate with Fuji Heavy Industries to resume Subaru car sales in Korea some time in the future.

By Joo Kyung-don [kjoo@joongang.co.kr]