Automakers in South Korea are grappling with a decline in output and lower demand amid the coronavirus pandemic, industry sources said Sunday, with some of them seeking to cut costs and secure cash via asset sales.
Auto output in the country reached 1.33 million in the first five months of the year, the lowest since 2009 when the comparable figure was 1.21 million, according to the data from the Korea Automobile Manufacturers Association (KAMA), South Korean News Agency (Yonhap).
For one, GM Korea logged the lowest production of 136,000 units in the January-May period since 2005, and SsangYong Motor Co. suffered a 38 percent on-year drop in its production to 38,200 units in the first five months of the year, the data showed.
In May alone, Hyundai Motor Co. and four other automakers produced a combined 230,000 units, the lowest for May in 21 years.
Vehicle sales plunged 36 percent last month from a year earlier to 423,000 units.
