Korean Media: Due to the rise of local brands, Korean cars are struggling in the Chinese market!

On March 3, the South Korean media "Today's Finance" published an article stating that last year, Chinese companies consolidated their dominant position in the domestic market.

Last year, the market share of Chinese brands such as BYD, Geely Auto, and Chery increased from 65.0% to 69.5%. Last year, the total sales in the Chinese market reached a record high of 35 million vehicles, with seven-tenths being Chinese brands.

Industry analysts believe that as Chinese companies intensify price competition, especially in the electric vehicle market, the positions of import brands from South Korea, Europe, and Japan have declined.

Hyundai and Kia saw their sales increase by 7.6% last year to 463,867 vehicles, but their market share dropped from 1.6% to 1.5%.

European brand sales decreased by 7.7% to 3,983,037 vehicles, and Japanese brand sales decreased by 6.3% to 2,929,396 vehicles. Their market shares fell to 13.3% and 9.7%, respectively.

As Hyundai Motor Group's market share in Europe and China continues to shrink, its reliance on the U.S. market naturally increases.

Last year, Hyundai and Kia sold a total of 1,836,172 vehicles in the United States, an increase of 7.5% compared to the previous year, with their market share rising from 10.8% to 11.3%. This is the highest market share achieved by Hyundai and Kia in the U.S. market.

In Hyundai Motor Group's global sales, the U.S. market share increased from 25.5% in 2024 to 25.9% in 2025. This means that for every four cars sold, one was sold in the U.S.

The South Korean domestic market ranks second at 17.3%, followed by Europe (15.6%), India (11.7%), Africa/Middle East (7.6%), and Latin America (6.6%). The market share in China is 2.9%.

Experts suggest that given the long-term uncertainty brought by U.S. tariffs and concerns about a weak market, Hyundai Motor Group should accelerate its market diversification process.

Professor Kim Byung-soo from Daegu University said: "Even after President Trump leaves office, the 'America First' policy in the U.S. may continue, so export diversification is a natural task. We need to launch models suitable for local markets and implement corresponding marketing strategies."

Senior researcher Kim Kyung-woo from the Korea Institute of Industry, Economy, and Trade said: "Chinese companies prioritize price competitiveness, but the automobile market is not a field where only price competition can win, so they need to stand out in terms of durability and quality."

Original: toutiao.com/article/1858607214253124/

Statement: This article represents the views of the author."