S.Korea's auto exports rise in 13 months on labor-management pay settlement

Automobile exports in South Korea rose in 13 months in November as major car manufacturers settled on an annual pay negotiation between labor and management, a government report showed on Thursday.

Car exports gained 0.9 percent from a year earlier to 260,491 vehicles in November, marking the first increase since October last year, according to the Ministry of Trade, Industry and Energy (MOTIE).

Export value of cars, one of South Korea's key export items, added 1.5 percent to 3.98 billion U.S. dollars, the first expansion in 17 months.

The expansion came as major automakers agreed on wage bargaining with the labor union, which used to be held around the end of the year.

The pay settlement resulted in stable car production, helping increase car sales at home and abroad.

Domestic sales of cars, produced by local companies, grew 2.8 percent to 143,329 units last month. Imported car sales tumbled 16 percent to 21,913 units on shortage of supply by some automakers.

Auto production increased 5.1 percent to 415,106 vehicles, with those by top automaker Hyundai Motor growing 9.1 percent to 171,976 units. It accounted for about 40 percent of total manufacturing.

Auto parts shipment climbed 4.2 percent to 2.12 billion dollars in November as car production in foreign factories of local automakers increased on strong overseas demand. Endit