Korea Automobile production performance is declining. Some people also worry that we may face a serious crisis situation. But others believe that, given the global automotive market downturn, Korea is not only a poorly performing countries.
Above: Ssangyong Changwon factory production line
According to the Korean Trade and Industry and Energy data, Korea January 2020 car production was 251,573. Compared with the same period last year (35,4305 units), a decrease of 29.0%. The reason crown by new outbreaks of pneumonia, a number of South Korean car factories to temporarily suspend production.
Above: South Korea General Motors, Changwon paint factory groundbreaking ceremony
which is from 2009 since, the average monthly production car for the first time dropped to 250,000, this is the first time after 2009. In other words, the current South Korean car production, has fallen to the level of 2009, when the US subprime mortgage crisis.
Above: Renault Samsung’s Busan plant because of the strike shut down
In addition to the causes of the epidemic, strike South Korea is the problem of automobile production had to face. If we look at the Hyundai-Kia Motors, GM Korea, Ssangyong Motor Co. and Renault Samsung Motor Co. The three companies earnings, the situation is worse. In particular, among other companies of Hyundai and Kia. GM Korea’s production (20 606) fell 55.7% year on year, while Renault Samsung automobiles also fell 50.1% (from 14,737 down to 7359).
Above: South Korean GM mountains plant
In addition, Ssangyong Motor in January 8646 the production also fell sharply by 28.4% over last year.
Above: South Korean Kia Motors plant sculpture
As this situation continues, some companies are adjusting production target this year. Kia Motors is the goal of this year’s production of 1.427 million, lower than the 1.45 million last year, 102 of 1.3%.
Above: Hyundai Ulsan factory outlet loading docks
2019, South Korean auto production totaled 3.95 million, down 1.7% year on year. Since 2009, this is the first Korean auto industry annual production of less than 4 million in 2009, the Korean automotive industry production is 3.35 million.
Above: Turkish president visited Ulsan factory
However, some analysts believe that South Korea’s situation is better than Other countries. In fact, in 2019 by producers divided vehicle production showed India’s automobile production fell 12.7%. In terms of productivity, and South Korea compared to 10 times lower.
In addition, the decline in Chinese production (-9.5%), Mexico (-7.5%) and Russia (-2.3%) and other major emerging markets also serious than South Korea. But in other countries there are still a large enough market capacity, through policy guidance, can still stimulate the market. But South Korea is different in terms of population, the local market is too small, dependent on overseas markets, is the issue of South Korean car had to face.