Automobiles Account for 5% of Korea's Exports in May
The auto industry's contribution to Korean exports plunged to 5 percent as the new coronavirus spread virtually blocked overseas markets.
In May, Korea’s automobile exports totaled US$1.85 billion, less than half of the shipments during the same period of 2019 and the lowest monthly exports since August 2009 (US$1.71 billion) when strikes hit automakers amid the global financial crisis.
Cars accounted for only 5.2 percent of Korea’s exports in May. Their proportion fell 3.4 percentage points from 8.6 percent a year earlier, hitting the lowest point since January 1998, shortly after the Asian financial crisis. Among major export items, automobiles placed fourth after semiconductors (23.1 percent), general machinery (9.8 percent) and petrochemicals (6.8 percent). Automobiles’ share was not much difference with those of steel products (5.1 percent) and ships (4.6 percent).
In May, automobile exports to the U.S. and European Union fell 65.5 percent and 30.3 percent, respectively, to US$400 million and US$320 million. In the U.S., some dealerships opened, but exports declined due to rising unemployment and weakened consumption. Car exports to the CIS region including Russia fell 88.8 percent to US$30 million due to the depreciation of the value of the Russian ruble.