Car output falls more than 17 percent on year in July

Industry

Car output falls more than 17 percent on year in July

Published: 22 Aug. 2024, 18:08

This undated file photo shows newly produced vehicles from Hyundai Motor in Ulsan waiting to be shipped to customers. [YONHAP]

Car output fell more than 17 percent on year in July due to weak domestic demand and partial strikes at some companies, industry data showed Thursday.

According to the Korea Automobile & Mobility Association, the total production volume of five automakers last month totaled 290,910 units, down 17.6 percent from last year.

It marked the first time for the output volume to drop below 300,000 units since August 2022, when production totaled 284,704 units.

Per individual company, production at Hyundai Motor last month dropped 16.5 percent to 128,961 units. Kia also experienced a 6.5 percent reduction in output to produce 126,598 units.

The output for GM Korea plummeted 52.6 percent to 19,885 units, while that of KG Mobility also fell 28.8 percent to 7,736 units. Renault Korea saw a 26.7 percent decrease to 6,948 units.

Industry watchers attributed the weakened production to partial strikes at automakers and parts suppliers, as well as sluggish domestic consumer sentiment.

Temporary plant closures over the summer vacation period at the end of July also affected output, they added.

Yonhap