Price Bubbles
Consumers Korea released the results of its recent survey on the prices of auto parts of imported cars on Dec. 4.
It analyzed the prices of 30 auto parts of five car models, and 23 of them were found to be sold at prices higher than the average prices in Germany and the United States.
The price gap is widest in the Lexus 300h. Its front fender is 2.5 times more expensive than in Germany and 1.8 times more expensive than in the United States, while the head lamp is 2.5 times and 2.1 times more expensive locally than in those respective markets. The front and rear bumpers of the Mercedes Benz E300 are 1.4 times more expensive than in Germany, and its head lamp is 1.3 and 1.8 times more expensive. The price of the door panel of the Chrysler 300C is 130 percent and 190 percent in Korea and that of the head lamp is 140 percent and 180 percent.
In the comparison between Korean and imported sedans with the same engine displacement of 2,000 cc, the latter were found to be 2.9 times more expensive than the former, while the latter’s parts are 4.6 times to 7.0 times more expansive than the former’s.