Korean Car Exports Hit Record $72B but Face New U.S. Tariff Risk
Creatrip Team
a month ago
South Korea’s auto exports reached a record $71.99 billion in 2025, driven by market diversification, stronger domestic brands, and rising shipments of eco-friendly and used cars. Despite a 13% drop in exports to the U.S. last year after high tariffs reduced price competitiveness, gains in the EU, CIS, Asia and other regions offset the loss. Officials expect overall exports to remain healthy in 2026, supported by continued demand for hybrids (HEV) and expanded model lineups from Hyundai and Kia. However, U.S. President Donald Trump has warned he may raise tariffs on Korean imports from 15% back up to 25% if a bilateral investment law is not passed — a move that would pose a serious downside risk to Korean auto shipments to North America. Analysts see modest global growth for 2026 and caution that uncertainty in the U.S. and EU markets could limit large gains for Korea’s car industry.
