Japanese Media: Korean Cars Struggle Between Chinese and Japanese Vehicles in Southeast Asia

The Japanese automotive media outlet WEB CAR TOP published an article on May 4th, reporting that the 47th Bangkok International Motor Show (BIMS) concluded in Bangkok, the capital of Thailand. In recent years, the number of Chinese brands participating has increased annually, while Japanese automakers have launched aggressive new vehicle campaigns, making the exhibition exceptionally vibrant.

Among them, Korean brands seem to have been overshadowed. Initially, Hyundai and Kia mainly produced large vans in Thailand, but Hyundai has recently introduced a compact multi-purpose vehicle (MPV), as well as the compact crossover SUVs Stargazer and Creta. Electric models have also been launched in Thailand, aiming to expand market presence.

However, Stargazer faces a formidable competitor—the Mitsubishi Expander Cross, a crossover SUV derived from the Expander platform, with the Stargazer X variant also introduced.

In terms of market visibility, especially pricing, Korean brands are positioned above Chinese vehicles but below Japanese ones.

Chinese vehicles continue to maintain high sales volumes in Thailand—not only electric vehicles, but also extended-range hybrid cars, plug-in hybrid vehicles, and even diesel-powered models.

Hyundai is pushing forward the next-generation Santa Fe, similar to Toyota’s RAV4, which enjoys great popularity in the U.S., and it is being sold not only in Thailand but also in Indonesia.

Korean cars aim at urban middle-class consumers. However, in Thailand, most new car purchases are financed through loans, and Korean cars face significant challenges here due to concerns over residual value. Chinese brands offer five-year resale value guarantees as purchase incentives, but Hyundai lacks comparable measures.

Aside from retaining some traditional advantages in the Vietnamese market, Korean brands have struggled in Southeast Asia in recent years. Whenever their models become slightly more upscale, they encounter strong competition from Japanese brands.

It seems that Korean brands will continue to face difficulties in Southeast Asia.

Original source: toutiao.com/article/1864224879144970/

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