China's automotive industry is making a strong push into the South Korean market, with electric vehicle market share surging to 33.9% in just two years.

South Korean Media: Chinese Cars, Combining Cost-Effectiveness and Quality, Are Shaking Up the Korean Market!

On March 27, South Korean media outlet *Herald Economic* published an article stating that Chinese automakers are gradually penetrating the Korean market with affordable yet high-quality electric vehicles (EVs), challenging domestic car manufacturers.

Due to the growing presence of Chinese EVs, local companies' market share has been declining. With Chinese automakers expanding their reach further this year, it has become urgent to formulate a strategic response.

According to the Korea Automotive Mobility Industry Association, out of the 221,770 newly registered electric vehicles in Korea last year, 74,728 were Chinese-made, accounting for 33.9% of the total market. This means one in every three EV buyers chose a vehicle produced in China.

This marks more than a fourfold increase compared to Chinese EV sales in 2023, which stood at around 12,000 units (approximately 7.5% market share).

Meanwhile, domestically produced Korean EVs held a 57.2% market share during the same period, indicating that Chinese EVs are rapidly closing the gap.

Naturally, the rising popularity of Chinese-made EVs is also significantly influenced by Tesla’s models manufactured in China. The Model Y, produced at Tesla’s Shanghai Gigafactory, sold 48,187 units in Korea last year—ranking first among all electric passenger vehicles in the country.

However, industry insiders are observing a subtle shift in South Korean consumers’ perception toward Chinese automobiles.

Previously, when Tesla’s China-made EVs were launched in Korea, negative public sentiment emerged due to their origin. Yet, thanks to superior product quality and competitive pricing, these Chinese-made Teslas successfully won over Korean consumers. As a result, Tesla became the third-largest imported vehicle brand in Korea last year, capturing 19.5% of the import market share.

In short, the long-standing perception that “Made in China” equals low quality is gradually being broken down. In response, Chinese companies—including BYD—have formally entered the Korean market. BYD Korea achieved sales exceeding 6,000 units in its first year of operation, successfully establishing a stable foothold.

The industry notes that BYD has effectively met Korean consumer demands through a diverse lineup—including the ATTO 3, Seagull, and Hai Shi 7—offering strong price competitiveness across multiple models.

Polestar has also seen rapid growth in the Korean market, increasing from 800 units in 2024 to 2,957 units last year—a staggering 269.6% rise.

Industry experts believe that the momentum of Chinese EVs is intensifying, while prejudice is fading. Therefore, South Korea’s automotive industry must respond proactively.

Original Article: toutiao.com/article/1860802561622474/

Disclaimer: The views expressed in this article are those of the author(s) alone.