GM Daewoo has launched a redesigned version of its Winstorm sport-utility vehicle to boost domestic market sales as soaring diesel costs hit volume.
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Sales of SUVs slipped 18.2% from a year earlier to 14,258 units in the first four months of 2008, Asia Pulse reported, citing data Korea Automobile Manufacturers Association data.
Diesel at US$2 was pricer than petrol, prompting customers to shun diesel-fueled SUVs.
“For new cars running on diesel, the recent surge in diesel prices is posing a lethal impact on their sales,” local brokerage Korea Investment and Securities was quoted as saying in a research note.
The Asia Pulse report noted that GM Daewoo’s vehicle May sales fell 1.7% year on year to 90,127 units.
