Korean production down 14.0% over 9 months 2020
- While European production is down 30.1% over the nine months of 2020, compared to the same period of 2019, and US production is down 23.2%, the Korean auto production (passenger cars and light utility vehicles) has significantly less suffered from the coronavirus crisis, as it fell by only 14.0%, which is the best result recorded by a major producer country, after China (-6.5%).
- Pre-crisis levels were reached as early as March 2020, then the decline in export markets (Europe and USA) caused Korean production to fall back in April and May 2020. The return to normal level is observed from June 2020 and the pre-crisis levels were clearly exceeded from September 2020. September 2020 saw an increase of 21% compared to September 2019. At this rate, the 2020 year could end with a volume of between -7.5% and -10% (i.e. a loss of 300,000 to 400,000 vehicles), which is a good performance, given that a decrease is expected in the world in the range of -15% to -20%.
- What is the situation by carmaker? Only the GM group progressed in Korea in 2020 (+ 13%) thanks to the arrival of a new model on the carmaker’s production lines (Chevrolet Trailblazer), supporting a plant which seemed vulnerable. The Hyundai-Kia group, largely the leader in Korea (its production volume represents more than 80% of automotive production in Korea) sees its production fall by 11%, less than Renault-Nissan (-20%) or Ssangyong (-25% ).
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