In 2024, there were around *** passenger cars per inhabitant in South Korea. This meant that there was a registered car for every two people in the country. The number of cars registered per person first hit the *** mark in 2019, and has stayed at that level for the past few years. The leading home brand Hyundai Motor Group As of 2022, the top 10 best-selling domestic car models in South Korea were from the Hyundai Motor Group (Hyundai Motor, Kia Motor, and Genesis). After Kia Motor was merged into Hyundai during the 1997 Asian financial crisis, both companies have shown strong growth. Hyundai Motor has four factories in South Korea, including its main factory in Ulsan and nine overseas factories. Domestic mobility services In South Korea, it is common to use public transportation such as buses or subways due to traffic congestion or a lack of parking spaces. In addition, the use of devices such as electric scooters or bikes has increased in recent years. Personal mobility devices (PMD) are frequently used in urban settings like Seoul, and have become a familiar presence on the street. In addition to this, the use of ride-hailing services such as Kakao T and Tada has greatly increased, offering customers further flexibility in their travels.

According to a survey conducted by Rakuten Insight, around **** percent of the South Korean respondents stated to own a car as of January 2024. In addition, around ** percent of car owners reported to own conventional cars.

According to a survey conducted by Rakuten Insight, around 78.7 percent of South Korean respondents aged 55 or older stated to own a car as of January 2024. More than half of the respondents aged between 25 and 34 years stated that they did not own a car.

South Korea: New passenger car sales, numbers per year: The latest value from 2023 is 1489363 passenger cars, an increase from 1420486 passenger cars in 2022. In comparison, the world average is 1102394 passenger cars, based on data from 57 countries. Historically, the average for South Korea from 2005 to 2023 is 1319989 passenger cars. The minimum value, 893159 passenger cars, was reached in 2005 while the maximum of 1618333 passenger cars was recorded in 2020.

Key information about South Korea Motor Vehicles Sales

• South Korea Motor Vehicles Sales recorded 132,909 units in Feb 2025, compared with 106,076 units in the previous month.
• South Korea Motor Vehicles Sales is updated monthly, available from Jan 1994 to Feb 2025, with an averaged number of 129,434 units.
• The data reached an all-time high of 204,171 units in Jun 2020 and a record low of 45,224 units in Jan 1998.
• In the latest reports, Retail Sales of South Korea dropped 0 % YoY in May 2023.

According to a survey conducted by Rakuten Insight in January 2024, around ***** percent of car owners in South Korea had conventional cars. In second place were hybrid cars with about ***** percent of respondents.

Key information about South Korea Motor Vehicle Sales: Passenger Cars

• South Korea Motor Vehicle Sales: Passenger Cars was reported at 1,489,363.000 Unit in Dec 2023.
• This records an increase from the previous number of 1,420,486.000 Unit for Dec 2022.
• South Korea Motor Vehicle Sales: Passenger Cars data is updated yearly, averaging 1,359,834.000 Unit from Dec 2005 to 2023, with 19 observations.
• The data reached an all-time high of 1,618,333.000 Unit in 2020 and a record low of 893,159.000 Unit in 2005.
• South Korea Motor Vehicle Sales: Passenger Cars data remains active status in CEIC and is reported by International Organization of Motor Vehicle Manufacturers.
• The data is categorized under World Trend Plus’s Association: Automobile Sector – Table RA.OICA.MVS: Motor Vehicle Sales: by Country and Type: Passenger Car (PC).

Key information about South Korea Motor Vehicles Sales Growth

• South Korea Motor Vehicles Sales grew 14.7 % in Feb 2025, compared with a decrease of 9.1 % in the previous month.
• South Korea Motor Vehicles Sales Growth rate is updated monthly, available from Jan 1995 to Feb 2025, with an average growth rate of 0.7 %.
• The data reached an all-time high of 131.0 % in Aug 1999 and a record low of -69.4 % in Aug 1998.
• Car Sales of South Korea recorded 132,909.0 units in Feb 2025.

The South Korea Used Car Market Report is Segmented by Vehicle Type (Hatchback, and More), Vendor Type (Organized and Unorganized), Fuel Type (Petrol and More), Vehicle Age (0 To 2 Years and More), Price Segment (Below USD 5, 000 and More), Sales Channel (Online Digital Classified Portal and More), Ownership (First-Owner Resale and Multi-Owner). The Market Forecasts are Provided in Terms of Value (USD) and Volume (Units).

According to a survey conducted by Rakuten Insight in January 2024, around **** percent of female and **** percent of male car owners in South Korea had conventional cars. In second place were hybrid cars, while electric cars were owned less frequently.

The South Korean used car market, valued at approximately $23 million in 2025, is projected to experience robust growth, exhibiting a Compound Annual Growth Rate (CAGR) of 4.80% from 2025 to 2033. This expansion is fueled by several key factors. Increasing vehicle affordability, particularly for younger demographics and those seeking budget-friendly transportation options, is a significant driver. Furthermore, the rising preference for private vehicle ownership, coupled with advancements in online car sales platforms, enhances market accessibility and convenience. The shift towards pre-owned vehicles also aligns with growing environmental consciousness, as buying used reduces the demand for newly manufactured cars, thereby minimizing the environmental impact associated with production. Segment-wise, Hatchbacks and Sedans continue to dominate the market due to their practicality and affordability, while the electric vehicle segment is expected to witness substantial growth in the coming years, driven by government incentives and increasing consumer awareness of environmental sustainability. However, challenges remain. The fluctuating prices of used cars, influenced by macroeconomic factors and supply chain disruptions, present a potential restraint on market expansion. Additionally, concerns regarding vehicle reliability and maintenance costs might deter some potential buyers. The competitive landscape is characterized by a mix of organized and unorganized players. Organized players like K Car, Encar, and Hyundai Glovis benefit from established brand reputations and extensive online platforms, offering transparency and convenience to consumers. In contrast, unorganized players, though numerous, lack the scale and reach of their organized counterparts. The growing dominance of online sales channels is transforming the consumer experience, providing broader access to diverse vehicle options and facilitating price comparisons. Looking ahead, the South Korean used car market's future trajectory will be significantly influenced by technological advancements, particularly in the areas of online marketplaces and vehicle inspection technologies. Government regulations impacting vehicle emissions and fuel efficiency will also play a crucial role in shaping the market's evolution over the forecast period. The continued expansion of the electric vehicle segment is poised to become a defining characteristic of this market's growth story. This report provides an in-depth analysis of the South Korea used car market, covering the period 2019-2033. With a focus on key market segments and driving forces, it offers valuable insights for businesses, investors, and industry stakeholders looking to navigate this dynamic sector. The report leverages extensive data analysis, incorporating historical data (2019-2024), a base year of 2025, and forecasts extending to 2033. The market size is analyzed in million units. Recent developments include: February 2023: The Korean International Trade Association (KITA) released a report stating South Korea's used vehicle exports to Russia skyrocketed by 1,163% in 2022 as new car releases were banned amid the ongoing war in Ukraine. Further, the association also revealed that Russia contributed to 4.9% of the overall overseas used car shipments from South Korea, totaling a unit shipment of 19,626 used vehicles in 2022., August 2022: Han Sung Motor announced the opening of its largest service center as it integrated the Yongdap Service Center with the Seongdong Service Center in South Korea for Mercedes-Benz customers. The new facility will provide auto repair services for both used and new cars of the Mercedes-Benz brand in the country., January 2022: Hyundai Glovis announced the launch of an online platform for used car sales in South Korea named Autobell to diversify its business portfolio.. Key drivers for this market are: Rising Adoption of Digital Technologies, Others. Potential restraints include: Presence of Various Unorganized Used Car Dealers in the Market. Notable trends are: Rising Adoption of Digital Technologies Will Foster the Growth of the Target Market.

South Korea: New commercial vehicle sales, numbers per year: The latest value from 2023 is 260366 commercial vehicles, a decline from 263171 commercial vehicles in 2022. In comparison, the world average is 468008 commercial vehicles, based on data from 57 countries. Historically, the average for South Korea from 2005 to 2023 is 270616 commercial vehicles. The minimum value, 160153 commercial vehicles, was reached in 2021 while the maximum of 303328 commercial vehicles was recorded in 2017.

The South Korea Auto Loan Market report segments the industry into By Vehicle Type (Passenger Vehicle, Commercial Vehicle), By Ownership (New Vehicles, Used Vehicles), By Provider Type (Banks, NBFCs (Non Banking Financials Companies), Credit Unions, Other Provider Types (Fintech Companies)), and By Tenure (Less than Three Years, 3-5 Years, More Than 5 Years). Get five years of historical data and forecasts.

Motor Vehicle Sales: Annual: Passenger Car (PC) data was reported at 3,712,852.000 Unit in 2017. This records a decrease from the previous number of 3,849,884.000 Unit for 2016. Motor Vehicle Sales: Annual: Passenger Car (PC) data is updated yearly, averaging 2,307,180.000 Unit from Dec 1981 (Median) to 2017, with 37 observations. The data reached an all-time high of 4,191,943.000 Unit in 2011 and a record low of 68,783.000 Unit in 1981. Motor Vehicle Sales: Annual: Passenger Car (PC) data remains active status in CEIC and is reported by Korea Automobile Manufacturers Association. The data is categorized under Global Database’s South Korea – Table KR.RA003: Motor Vehicle Sales: Yearly.

The South Korean car loan market, valued at $9.23 billion in 2025, is projected to experience robust growth, exhibiting a Compound Annual Growth Rate (CAGR) of 10.97% from 2025 to 2033. This expansion is fueled by several key factors. Increasing car ownership, particularly among younger demographics, coupled with favorable financing options offered by banks, Non-Banking Financial Companies (NBFCs), car manufacturers, and other providers, are driving market demand. The preference for longer loan tenures (3-5 years and beyond) reflects consumer purchasing behavior and affordability considerations. The market segmentation reveals a significant contribution from both passenger car and commercial vehicle loans, with new vehicle financing holding a larger share compared to used vehicle financing. Competition within the market is intense, with established players like Bank of America Corporation, BMW Group Financial Services Korea, and Hyundai Capital Services Inc. vying for market share alongside other significant players. Growth is further stimulated by government initiatives supporting the automotive industry and evolving consumer preferences towards newer vehicle models. However, the market is not without its challenges. Economic fluctuations, interest rate changes, and potential shifts in consumer spending patterns pose potential restraints on market growth. Furthermore, regulatory changes within the financial sector could influence lending practices and impact the overall market trajectory. Despite these potential headwinds, the sustained growth in South Korea's automotive sector and the increasing accessibility of financing options are expected to sustain a positive growth trajectory for the car loan market throughout the forecast period. The market's dynamic structure, characterized by a diverse range of providers and loan options tailored to various vehicle types and consumer profiles, ensures its continued relevance and adaptability to evolving market conditions. This comprehensive report provides an in-depth analysis of the South Korea car loan market, covering the period from 2019 to 2033. It offers valuable insights into market size, trends, growth drivers, and challenges, with a focus on key segments and leading players. The report utilizes data from 2019-2024 (historical period), with the base year being 2025 and the forecast period spanning 2025-2033. The market is segmented by vehicle type (passenger car, commercial vehicle), ownership (new vehicles, used vehicles), provider type (banks, NBFCs, car manufacturers, others), and loan tenure (less than three years, 3-5 years, more than 5 years). This report is crucial for anyone seeking to understand and navigate the dynamic South Korean automotive financing landscape. Market values are expressed in millions of units. Recent developments include: December 2023: Mitsubishi HC Capital Inc. and AeroEdge Co., Ltd. signed a "Memorandum of Understanding to Co-Create Business" to pursue new business development, commercialization assessment, discussion related to digital transformation, and sustainable development Goals through sustainable transformation in the aviation industry, November 2022: Renault Financial Services Korea, a firm of Renault Korea Motors, changed its name to Mobilize Financial Services, starting Nov. 1. With the new brand name, it aims to become the brand reference for Renault Korea Motors customers, offering a complete range of services related to the use of their cars.. Key drivers for this market are: Government Incentives for Electric Vehicles, Shifting Preferences Towards Larger Vehicles. Potential restraints include: Government Incentives for Electric Vehicles, Shifting Preferences Towards Larger Vehicles. Notable trends are: Increasing in Sales Volume of Electric Cars in South Korea.

South Korea Car Loan Market size was valued at USD 15.00 Billion in 2024 and is projected to reach USD 30.00 Billion by 2032, growing at a CAGR of 9.05% during the forecast period 2026-2032.

South Korea Car Loan Market Drivers

1. Growing Demand for Automobiles and Vehicle Ownership Higher rates of car ownership are being driven by urbanization and rising disposable income. The demand for loans is being driven by growing interest in eco-friendly automobiles and electric vehicles (EVs). Trends in auto financing are supported by the growing middle class.
2. Affordable Interest Rates and Advantageous Financing Choices Competitive interest rates are available on auto loans from South Korean banks and financial institutions. Longer loan terms, zero-down payment plans, and flexible repayment choices draw in more borrowers. The sector is further stimulated by government incentives for green car financing and EV loans.
3. Auto Financing's Digital Transformation Digital lending platforms and fintech businesses streamline loan applications and approvals. Blockchain technologies and AI-powered credit scoring increase efficiency and transparency. Online resources for comparing auto loans assist buyers in locating the finest finance offers.

Motor Vehicle Sales: Annual: Truck: Domestic data was reported at 182,156.000 Unit in 2017. This records an increase from the previous number of 173,963.000 Unit for 2016. Motor Vehicle Sales: Annual: Truck: Domestic data is updated yearly, averaging 165,291.000 Unit from Dec 1981 (Median) to 2017, with 37 observations. The data reached an all-time high of 255,312.000 Unit in 1995 and a record low of 37,483.000 Unit in 1982. Motor Vehicle Sales: Annual: Truck: Domestic data remains active status in CEIC and is reported by Korea Automobile Manufacturers Association. The data is categorized under Global Database’s Korea – Table KR.RA003: Motor Vehicle Sales: Yearly.

The South Korea used cars market was valued at USD 23.06 Million in 2024. The market is expected to grow at a CAGR of 10.80% during the forecast period of 2025-2034. Growing consumer preference for lightly used electric vehicles, driven by subsidy phase-outs and battery degradation awareness, is accelerating certified EV resale activity, especially in Seoul, Incheon, and Daejeon corridors. As a result, the market is expected to reach a value of USD 64.31 Million by 2034.

The South Korea used cars industry can be characterized as a fragmented network of dealerships and offline trading hubs that has now transformed into a smart, semi-digital ecosystem. Sites such as K Car and Hey Dealer provide B2B options with pricing engines fuelled by artificial intelligence, allowing corporate fleet operators and leasing companies to sell used cars in a transparent manner. For example, SK Encar delivers valuation utilities and car history reports, assisting B2B customers like car rental firms in asset disposal. The digitized systems reduce transaction time, enhance trust, and boost fleet turnover efficiency, which is key for companies aimed at maximizing resale margins and vehicle life management.

Certified pre-owned (CPO) programs, like Hyundai Motor’s CPO program and Mercedes-Benz Certified program, are transforming the South Korea used car market dynamics by offering automaker-approved quality assurance. Hyundai, Kia, and foreign brands now provide detailed inspections, prolonged warranties, and post-sales service through CPO showrooms. This pattern is gaining traction among B2B customers, particularly mobility service operators such as SoCar and GreenCar, who value the reliability of the vehicle and the cost of total ownership. CPO cars minimize operational risks and downtime, and they are ideal for business use.

Korea Motor Vehicle Sales: KAMA: Annual data was reported at 4,090,396.000 Unit in 2017. This records a decrease from the previous number of 4,221,869.000 Unit for 2016. Korea Motor Vehicle Sales: KAMA: Annual data is updated yearly, averaging 2,854,289.000 Unit from Dec 1981 (Median) to 2017, with 37 observations. The data reached an all-time high of 4,626,345.000 Unit in 2011 and a record low of 134,774.000 Unit in 1981. Korea Motor Vehicle Sales: KAMA: Annual data remains active status in CEIC and is reported by Korea Automobile Manufacturers Association. The data is categorized under Global Database’s Korea – Table KR.RA003: Motor Vehicle Sales: Yearly.

Graph and download economic data for Sales: Retail Trade: Car Registration: Passenger Cars for Korea (KORSLRTCR03GYSAQ) from Q1 1993 to Q3 2018 about car registrations, Korea, trade, vehicles, retail trade, sales, and retail.