S.Korea's auto production posts double-digit decline on labor strike
Xinhua, September 13, 2016 Adjust font size:
Automobile production in South Korea posted a double-digit decline last month due to labor strikes in some carmakers, a government report showed on Tuesday.
The number of cars produced in local factories reached 217,097 units in August, down 23.8 percent from a year earlier, according to the Ministry of Trade, Industry and Energy (MOTIE).
Workers in top automaker Hyundai Motor, its affiliate Kia Motors and GM Korea, the South Korean unit of U.S.-based General Motors, went on a strike for 76 hours, 68 hours and 96 hours each last month.
The strikes caused an estimated damage of 920 million U.S. dollars to the carmakers' overseas shipments.
Car sales in the domestic market reached 124,549 units in August, down 10.6 percent from a year ago due to the end in June of temporary consumption tax cut.
Imported car sales tumbled 14.6 percent over the year to 17,563 units in August as emissions-fabricating scandal from German carmaker Volkswagen weakened demand for foreign luxury models.
Auto exports tumbled 18.6 percent from a year earlier to 142,987 units in August. In terms of value, exports plunged 14.8 percent to 2.3 billion U.S. dollars.
Auto parts shipments rose 3.2 percent to 1.79 billion dollars, marking the first rebound in eight months. Endit