German cars finally breach Korea's market

Seoul

SOUTH Korea is on track to spend more on vehicle imports from Europe this year than it earns from exports the other way, for the first time in 24 years, as German brands breach the once impregnable fortress of Hyundai Motor and its local rivals.

The turnabout follows a 2011 free trade deal eliminating duties on vehicles from Europe, and as tastes change in a market once so patriotic that foreign cars were sometimes targeted by vandals.

Imports made up 3 per cent of cars sold in South Korea a decade ago and now account for a record 14 per cent. German cars make up 71 per cent of foreign cars sold in South Korea this year, …