Auto sales by value hit record in 2021, while unit sales fall

Cars for export are parked at Hyundai Motor's Ulsan factory in January [YONHAP]

The number of cars sold in Korea fell in 2021, but by sales amount, the figure increased and hit an all-time high.

A total of 1.7 million cars were sold in Korea last year, 9 percent fewer than in 2020, according to data released by the Korea Automobile Manufacturers Association (KAMA) on Wednesday.

"Tax incentives and revenge purchases drove up car demand in Korea in 2020," the association explained.

"In 2021, car sales couldn't even reach the recent average due to disruptions in the supply chains, which led to a delay in the delivery of cars."

An average of 1.8 million cars were sold in Korea a year over the past five years.

In value terms, car sales totaled 76.6 trillion won ($62.9 billion) in Korea last year, a record and up 1.8 percent.

"Soaring demand for imported cars, large SUVs and electric cars were major reasons for the increase," the association said.

The average price of a car sold in Korea was 44.2 million won last year, exceeding the 40 million won mark for the first time.

Popularity of imported cars, including so-called super cars costing more than 400 million won, continued.

The number of imported cars sold in Korea hit an all-time high last year of 309,000, up 2.3 percent, while domestic car unit sales dropped by 11.1 percent.

A total of 1,542 super cars, including, Ferrari, Bentley, Rolls-Royce, Lamborghini and McLaren models, were sold in 2021, up 25 percent.

By sales amount, imported cars were 32 percent of the 76.6 trillion won market. It is the first time for imported cars to account for more than 30 percent of Korea's auto market in terms of sales amount.

Of the imported brands, German brands led, with 192,000 sold, up 2.6 percent. A total of 48,000 American cars were sold, up 6.4 percent.

Koreans bought 17,833 Teslas, compared to 11,829 in 2020.

The popularity of large SUVs and electric vehicles (EVs), which tend to be more expensive than sedans and internal combustion engine vehicles, helped boost sales.

The number of large SUVs sold in Korea last year jumped by 5.4 percent, while sedan unit sales fell by 16.1 percent.

The number of EVs sold in Korea came to 100,355 last year, up 115.2 percent, while the unit sales of petrol-powered cars dropped by 10.8 percent and that of diesel-powered cars dropped by 29.2 percent.

BY JIN EUN-SOO [jin.eunsoo@joongang.co.kr]