Imported Cars
Last month, while imported car sales decreased compared to the previous year, the sales volume of high-end models priced over 100 million won (US$77,892) increased. This indicates an ongoing preference for luxury vehicles among high-income earners, who continue to accelerate their efforts in the Korean market.
According to the Korea Automobile Importers & Distributors Association (KAIDA) on June 19, a total of 103,933 imported cars were sold in Korea from January to May this year, a decrease of 4.0% compared to the same period last year. Among these, 28,782 units, or 27.6%, were vehicles priced at 100 million won or more. It has been reported that one in four imported cars on Korean roads is a high-end model costing over 100 million won.
The proportion of vehicles priced at 100 million won or more among total imported car sales has been steadily increasing. The proportion, which stood at 10.2% in 2017, rose to 10.9% in 2018, 11.84% in 2019, and 15.71% in 2020. In 2021, it increased to 23.59%, and last year it recorded 25.36%.
Mercedes Benz stood out in terms of luxury model sales. Sales of Mercedes vehicles priced over 100 million won nearly doubled, from 1,212 units in January this year to 2,840 units last month. Cumulative sales amounted to 11,611 units, the most among the imported car brands in Korea. During the same period, BMW increased its sales of cars priced over 100 million won from 1,274 units to 1,602 units, recording a cumulative sales volume of 7,206 units.
The rise of supercar brands is also noteworthy. Porsche increased its cumulative sales this year by 27% to 5,117 units compared to the same period last year. Porsche sold 1,212 units in January, 2,085 units in February, 2,488 units in March, and 2,986 units in April. Although sales dropped by 4.8% to 2,840 units last month compared to the previous month, it is expected to achieve a cumulative sales volume of 10,000 units if this trend continues.
During the same period, Bentley sold 292 units (up 11%), Lamborghini sold 143 units (up 26%), and Rolls-Royce sold 111 units (up 10%), all recording double-digit growth compared to the previous year. An industry insider said, “The supercar market in Korea is growing every year, as its main customers are high-income earners. It’s also highly likely that new brands will enter the Korean market.”
As the luxury imported car market heats up, imported car brands are focusing on launching more expensive models. Rolls-Royce, one of the world’s top three luxury car manufacturers, revealed SPECTRE, the brand’s first electric vehicle, in Korea on June 16, marking its first release in the Asia-Pacific region. With a starting price of at least 622 million won (US$484,448), Korea recorded the highest number of preorders in the Asia-Pacific region. The vehicle is expected to be delivered sequentially to customers from the fourth quarter of this year.
Irene Nikkein, head of Rolls-Royce Motor Cars Asia Pacific, emphasized that “Korea is one of the fastest-growing countries and one of the most important markets for Rolls-Royce.” The number of Rolls-Royces sold in Korea was 161 units in 2019, 171 units in 2020, 225 units in 2021, and 234 units in 2022.
Ferrari unveiled the Ferrari Roma Spider, a convertible sports car with a front engine and soft top, at the Dongdaemun Design Plaza (DDP) in Seoul on June 1. The price of the new car was not revealed but is expected to be in the mid-300 million won range.
Lamborghini will introduce Revuelto, the brand's first plug-in hybrid vehicle (PHEV), to the Korean market on June 23. With a per-unit price of 795 million won (US$619,267), it is known that two years’ worth of orders have already been placed.