South Korean cars enjoy hectic sales

Agence France-Presse, Seoul

South Korean auto makers are enjoying strong sales in domestic and overseas markets with their competitive prices giving them an edge amid the economic slump, analysts said Thursday.

Hyundai Motor Co. reported an 11.1 percent increase in September sales to 147,118 vehicles from a month earlier.

The figure included 79,203 exported vehicles, up 12.4 percent from August, and a 9.5 percent rise in domestic sales to 67,915.

"South Korean car makers are best positioned to benefit from this environment as consumers pay more attention to prices," said Mark Barclay, auto analyst for Samsung Securities Co.

Kia Motors Co., now part of the Hyundai Motor group, posted a 9.3 percent growth in sales to 90,668 vehicles.

Domestic sales inched up 1.5 percent from August to 34,859 autos, while exports jumped 14.9 percent to 55,809.

Daewoo Motor Co. said its sales also increased last month, especially after General Motors signed a memorandum of understanding with Daewoo Motor creditors to take over the troubled automaker.

It sold 45,181 vehicles in September, up 13.9 percent from the previous month. Domestic sales in September stood at 13,897, up 4.4 percent, while exports rose 18.8 percent to 31,284.

But for the nine months to September, Daewoo Motor's sales of 366,459 units are down 40.5 percent from the same period last year, with domestic sales falling 36 percent to 125,287 and exports dropping 43.7 percent to 241,272.

South Korean cars have been selling especially well in the United States, where the three makers sold 466,031 units in the nine months to September. Hyundai sold 260,472 units, up 36 percent from the same period last year.