Honda’s Sales Increased in Korea

August 7th, 2008 admin

Soaring oil prices must have made a tough business environment for all automobile makers. Though Honda Motor Co. Ltd is beating its own sales target and now it is the number one import brand in Korea. Its sales increased 95 percent in the first seven months of the year 2008 by selling 8,056 vehicles. It is sure that the sales number of vehicles does not look, much amount but the quantity represents a automobile market share of 2o percent among foreign brands vehicle in the country.

To say speak the truth, Honda’s previous seven-month sales amount for 90 percent of its actual sales target for all of the year 2008 and it is a pleasant surprised by the unexpected surge. Now Honda has upwardly set its new sales target for 2008 to 12,000 units from the earlier 9,000 automobiles. But the gas-sipping Civic or the hybrid do not drive Honda’s sales growth. Among the various models, the top selling model name is the Accord. It is powered by 3.5-liter V6 engine and it is accounted for around 40 percent of all its productions in Korea the year 2008.

Honda is also making a change in Korea’s imported autombile market and most of the action used to occur at the top part. Last year, Luxury German brands as well as the Lexus were the most popular import vehicles in Korea. But now, number 2 BMW’s share is just below 14 percent and it is more than 6 percent smaller than Honda’s. Mercedes Benz is in third position with 11.5 percent and Lexus fourth placed with 9.7 percent. Total sales of imported automobile jumped 33.7 percent in the previous seven months to 39,911 vehicles and the figure represents just over 6% of total automobile demands in Korea. Just two years ago, imported automobiles provide only 3% of vehicles sales in Korea but nowadays the demand of imported vehicles have been increased.