'High-Flying' Imported Cars... Even Japanese Cars Showing Recovery Trend

October Japanese Car Sales 1,735 Units

[Asia Economy Reporter Kim Ji-hee] The imported car market continues to thrive despite the COVID-19 pandemic. The overall market strength is even reviving Japanese brands that faced a crisis due to last year's boycott movement.

According to the Korea Imported Automobile Association on the 8th, the number of newly registered imported passenger cars last month reached 24,257 units. This is a 9.8% increase compared to the same period last year and an 11.1% increase from the previous month. Imported cars achieved the second-highest monthly sales this year, surpassing 200,000 units in cumulative sales for the first time in 10 months.

During the same period, sales of Japanese car brands were 1,735 units. The share of Japanese brands in the overall market was 7.2%. Last month's sales decreased by 12.2% compared to the same period last year.

Since the boycott of Japanese products began in earnest last summer, sales of Japanese cars have continued to decline year-on-year. Sales in June this year fell by 30.7% compared to the same period last year, and in July, they dropped sharply by 39.6%.

However, the mood began to change from August. Sales increased by 1.1% year-on-year, marking the first growth, and in September, sales rose by 32.2%. Sales have also steadily increased compared to the previous month. Japanese car sales recorded 1,413 units in August, 1,458 units in September, and jumped to 1,735 units in October. Although cumulative sales this year barely reached 10,000 units by June, down 57.2% from last year, the cumulative sales decline rate until last month narrowed to -46.9%.

Notably, these results are even more significant considering that Nissan and Infiniti, which decided to withdraw from the domestic market, were excluded. Other Japanese brands such as Lexus (871 units), Toyota (553 units), and Honda (311 units) all saw increased sales last month compared to the previous year.

An industry insider said, "Models like the Lexus ES300h, which have been recognized for their product value over a long period, have maintained steady sales, ranking within the top 10 in imported car sales despite the boycott movement," adding, "As it has been over a year since the boycott started, along with the expansion of the imported car market, sales of Japanese cars will gradually revive."