Hyundai and Kia expect to export two million cars in 2023
As the market recovers in 2023, South Korean automakers Hyundai and Kia expect exports to surpass 2 million units.
Market Resilience Post-COVID:
Recent data from South Korea indicates that Hyundai Motor Company, alongside its sister company Kia, projects a surge in exports, expecting to surpass two million units in 2023. The ongoing recovery of the automotive market following the COVID-19 pandemic's disruptions serves as the foundation for this optimistic outlook.
Impressive Growth in 2022:
Korea Automobile and Mobility Association data shows that between January and October, Hyundai exported 945,062 vehicles and Kia 867,136. This data shows a significant 17.5% rise when compared to last year at the same time.
Monthly Shipments and Projections:
With a monthly average of 180,000 units shipped by both automakers, industry experts anticipate that their combined overseas sales for the entirety of 2023 could surpass the significant milestone of 2 million units. If realised, this would mark the first time since 2016 that the South Korean automotive duo has achieved such a feat.
Enhanced Production Capabilities:
An official from Hyundai Motor Group attributes this growth to the strategic expansion of local production capabilities. This move was aimed at meeting the escalating global demand for environmentally friendly cars, reflecting the industry's shift towards more sustainable transportation solutions.
The economic impact of this surge is evident in the total export value, which reached $43.9 billion during the January–October period. This figure has already surpassed the total shipments of $41.5 billion recorded in the preceding year. Notably, the average price of the exported cars has seen a substantial increase, rising from $14,000 in 2016 to $24,000, signifying a noteworthy 68% surge.
South Korean manufacturers Hyundai and Kia are proving to be resilient and adaptable as they negotiate the ever-changing automobile business. They are well-positioned for ongoing success in the cutthroat worldwide market because of their dedication to fulfilling global demand and adopting trends that are ecologically aware.