Seoul: South Korea's automobile exports saw an increase in June compared to the previous year, driven by significant growth in shipments to Europe and Asia, despite a decrease in exports to the United States due to U.S. tariffs, newly released data indicates.

According to Yonhap News Agency, the value of South Korea's outbound automobile shipments rose by 2.3 percent year-on-year to reach $6.3 billion in June, setting a record as the highest monthly figure for any June. This increase in value occurred even as the volume of exports fell by 8.8 percent to 244,427 vehicles. The Ministry of Trade, Industry and Energy attributed the increased value to a shift towards exporting high value-added vehicles, such as sport utility vehicles (SUVs) and electric vehicles (EVs). Exports to the United States dropped for the fourth consecutive month, falling by 16 percent year-on-year to $2.7 billion.

The decline in U.S. exports follows the imposition of 25 percent tariffs on all imported vehicles and auto parts by the U.S. in April. However, shipments to the European Union and Asia experienced significant growth, rising by 32.6 percent and 35.6 percent year-on-year to $770 million and $620 million, respectively. This growth partially offset the reduction in exports to the U.S.

Vehicle exports to the Middle East also increased, growing by 11.9 percent to $520 million. The Ministry highlighted that exports to Germany and the Netherlands saw particularly notable growth, nearly doubling in these regions.

Domestically, South Korean automobile sales rose by 5.8 percent year-on-year to 145,843 units in June, while domestic production remained stable at 353,233 units. Additionally, sales of eco-friendly vehicles in South Korea exceeded 72,000 units in June, marking a 36 percent increase from the previous year.