Automakers, which together rank third in global vehicle sales, sold 7.23 million units in 2024, a decline of 1% compared to 2023
SEOUL (Reuters) – South Korea’s Hyundai and its affiliate Kia Corp aim to increase their combined global sales by 2% this year to 7.39 million vehicles, after reporting a drop in sales in 2024 and failing to meet their targets.
Automakers, which together rank third in global vehicle sales, sold 7.23 million units in 2024, a decline of 1% compared to 2023, with solid sales in the United States overshadowed by weak demand in Europe and its domestic market. .
The two automakers are bracing for a slowing economy and political uncertainty in the U.S. and South Korea that threaten to reduce demand.
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South Korean consumer confidence recorded the biggest drop in December since the 2020 pandemic, impacted by political uncertainty following the decree of martial law by President Yoon Su Yeol and his impeachment.
In the United States, President-elect Donald Trump has threatened to impose universal tariffs of 10% on imports.
Automakers have not said how they intend to increase their sales and Hanwha Investment & Securities analyst Kim Sung-rae said it could be a challenge to meet the target given macroeconomic uncertainties in Europe and emerging markets.
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Hyundai and Kia also face growing competition from Japan’s Honda and Nissan, which are in talks to create the world’s third-largest automotive group by 2026.
