Hyundai Motor Mar Auto Sales Down On Year

SEOUL April 1, 2003; Dow Jones reported that Hyundai Motor Co.'s auto sales in March fell 0.2% on year to 159,743 units due to a sharp decline in local sales, the country's largest car maker said in a statement Tuesday.

Local sales dropped 10% on year to 62,947 units in March, while exports rose 7.7% to 96,796 units.

Exports include sales from Hyundai Motor's overseas manufacturing plants, it said.

However, Hyundai Motor's March sales were 10.3% higher than a month ago, with both local sales and exports up 10%, largely because there are more working days in March than February.

Hyundai Motor didn't provide reasons for the on-year fall in March local sales in the statement.

But a sharp on-year fall in local sales was largely expected due to weakening consumer sentiment because of the Iraq war. Also, auto sales were robust a year ago, driven by a cut in consumer tax on car purchases.

Hyundai Motor's combined sales of passenger cars, sports utility vehicles and mini vans slid 11% on year to 42,650 units in March, and that of commercial vehicles also fell 8.3% to 20,297 units, it said.

Hyundai Motor attributed the on-year rise in exports to strong sales from its units in India, Turkey and China, as well as growing popularity of its brand in the U.S and Europe.

During the first quarter of this year, Hyundai Motor's sales increased 7.1% on year to 460,955 units, with exports jumping 16% to 280,170 units.

But, local sales in the first three months of this year fell 4.8% on year to 180,785 units.