[2020 National Audit] Lee Jae-myung "Large Corporations Should Be Cautious About Entering the Used Car Market"

[Asia Economy (Suwon) = Reporter Lee Young-gyu] Lee Jae-myung, Governor of Gyeonggi Province, expressed a cautious stance on allowing large corporations such as Hyundai Motor Company to enter the used car market.

On the 20th, during the National Assembly Land, Infrastructure and Transport Committee's audit of Gyeonggi Province, in response to a question from Kim Hoe-jae, a member of the Democratic Party of Korea, asking, "What do you think about allowing large corporations to enter the used car market like in advanced countries?" Lee said, "There are at least 300,000 people working in the used car market," and expressed concern that "while large corporations entering might initially improve trust, it could result in the loss of a large number of jobs."

Therefore, he added, "It is better to thoroughly control and improve the current problems (such as small-scale businesses, fraud, and intimidation in the used car market) and, on that basis, leave the market as a small and medium-sized enterprise sector."

He continued, "We should not eliminate everything just because there are problems, and I believe that allowing large corporations to enter should be done cautiously," warning that "it could lead to the result of burning down a thatched house to catch a flea."

Earlier, Gyeonggi Province recently conducted a survey on the actual condition of false listings among about 4,000 used cars at 31 used car markets in the province. The results showed that only 4.8% were officially registered vehicles, and over 95% were found to be false listings.

Assemblyman Kim Hoe-jae explained, "Many people have suffered damages due to used cars," adding, "According to the Consumer Protection Agency, there were 21,600 cases of complaints related to used cars from 2018 to September 2, 2020."