South Korean car makers saw their sales rebound in October after strikes dented production in September, with industry leader Hyundai Motor reporting record monthly sales.
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According to Reuters, analysts said a post-strike order backlog at Hyundai and Kia Motors, a more stable won currency and solid overseas demand are likely to underpin strong sales for the rest of the year.
Domestic sales growth in October was slow, however, with a fuller recovery in the local economy seen only in 2006.
“Sales numbers returned to normal in October,” said Choi Dae-sik, an analyst at CJ Investment & Securities, told the news agency. “Domestic demand still remains weak, but they are doing well overseas.”
The car industry accounts for a tenth of South Korea’s total exports.
Reuters said October vehicle exports jumped 15.8% from a year earlier to a combined 369,548 units, while domestic sales grew only 3.9% to 97,258 units.
Total sales climbed 13.1% to 466,806 vehicles, a sharp improvement from a 1.1% increase in September but slower than August’s 17% rise, Reuters added.
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