Volkswagen’s H1 sales hit by diesel scandal

[THE INVESTOR] Volkswagen’s sales in South Korea in the first six months slipped from a year ago, hit by the widening investigations into the German automaker’s emission scandal, industry data showed on July 6. The number of VW vehicles sold in January-June came in at 12,463 units, a 33.1 percent decrease from the same period last year, according to data from the Korea Automobile Importers and Distributors Association.  Volkswagen store in Seoul, South Korea/ The InvestorJune sales plummeted by

July 6, 2016

Foreign carmakers' H1 sales show first year-on-year drop since 2009

[THE INVESTOR] Imported vehicle sales for the first half of the year dropped 2.6 percent from a year ago, industry data showed on July 6. This is the first time first half imported car sales have shown year-on-year decline since 2009. During the first half of the year, 116,749 units of imported cars were sold on the South Korean market, dipping 2.6 percent compared to the same period last year, Korea Automobile Importers and Distributors Association data showed.BMW320d / BMWJune sales declined 3

July 6, 2016

Prosecutors summon ex-VW Korea chief

[THE INVESTOR] Prosecutors summoned former head of Volkswagen Korea Park Dong-hoon on July 5, to question him over the German automaker’s emission scandal that hit the customers here and around the world. Park, who headed the company from its initiation in 2005 to 2013 before moving to Renault Samsung as the chief executive, appeared before the Seoul Central District Prosecutors’ Office as a key witness in the ongoing case over VW cheating emission tests for defective units. The prosecutors, how

July 5, 2016

Hyundai Motor union seeks alliance with HHI union for strike

[THE INVESTOR] Hyundai Motor’s union is preparing to stage a strike, and to this end has sought an alliance with workers from Hyundai Heavy Industries.The carmaker’s union announced on July 5 that a vote will be held on July 13 to decide whether to take industrial action over failed wages negotiations. Hyundai Motor union is also hoping to form an alliance with HHI union. If successful, it will be the first time the unions of the two companies will go on strike simultaneously. According to the u

July 5, 2016

EU-Korea FTA more beneficial for European automakers

[THE INVESTOR] European carmakers benefited more from the EU-Korea free trade agreement than their Korean counterparts, according to industry data on July 5. Data from the Korea Automobile Manufacturers Association showed that domestic car manufacturers exported 383,698 units of cars to EU countries in 2015, reflecting a 28.6 percent increase from the 298,263 units in 2010. The EU-Korea FTA went into effect in 2011. In 2010, a total of 59,242 European cars were sold in Korea according to the Kor

July 5, 2016

Hyundai Motor to operate self-driving taxis at research center

[THE INVESTOR] Hyundai Motor Group plans to operate self-driving taxis at its research center in Namyang, Gyeonggi Province, from later this month, a local newspaper reported on July 6. MoneyToday, citing unnamed company officials, reported that a total of five autonomous taxis, based on Hyundai’s fuel-cell sport utility vehicle Tucson ix and the Ioniq hybrid compact, will be operated. Hyundai’s Genesis sedans drive on autopilot mode at the carmaker’s Nevada research center. / Hyundai MotorThe N

July 5, 2016

Hyundai’s domestic SUV sales top 2 million

[THE INVESTOR] The number of Hyundai Motor ’s sport utility vehicles sold in South Korea has broken the 2 million mark, industry data showed on July 5. Hyundai is the first South Korean carmaker to sell more than 2 million SUVs in the local market. According to industry data, a total of just under 2.012 million units of Hyundai SUVs have been sold here since 1991 when the carmaker introduced its first SUV -- the Galloper based on Mitsubishi Pajero.  Apart from the Galloper, Hyundai has rolled ou

July 5, 2016

Consumer agency to take action against VW Korea

[THE INVESTOR] With Volkswagen’s decision not to offer further compensation to the Korean consumers hit by the emission-rigging scandal, a local consumer rights agency is taking action on behalf of any VW owners who were hit by the carmaker’s false advertisements, local news reported on July 4. Korea Consumer Association announced that it will begin consumer redress activities for VW owners who were deceived by the carmaker’s false advertising that promoted the cars as low-emission and environme

July 4, 2016

Lawmakers seek tougher penalties on carmakers manipulating fuel economy

[THE INVESTOR] South Korean lawmakers are seeking regulatory changes to force carmakers to give monetary compensation to consumers when they deliberately misrepresent the fuel economy of their vehicles. Rep. Kwon Sok-chang of the ruling Saenuri Party said on July 4 that he will propose a revised Motor Vehicle Management Act to include mandatory monetary compensation. At present, misrepresentation of a vehicle’s fuel economy is categorized as a “minor defect,” and consumers are not eligible for a

July 4, 2016

Malibu Hybrid misses low-pollution certification

[THE INVESTOR] GM Korea’s Malibu Hybrid has failed to obtain a low-pollution certification, making it ineligible for tax benefits on eco-friendly cars, government and industry sources.On July 3, GM Korea notified through its website that benefits for purchasing hybrid vehicles are not applied to the Malibu Hybrid. According to the Ministry of Environment, the Malibu Hybrid is excluded from the measure due to failing emission standards. MalibuAt 95 grams per kilometer, the vehicle meets carbon di

July 4, 2016