Why Did Sales Drop for GM Korea and Renault Korea Motors?
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Synopsis
In 2025, GM Korea and Renault Korea Motors faced significant challenges in sales, with GM Korea seeing a decline of 7.5% and Renault Korea Motors experiencing a drop of 17.7%. Discover how domestic demand and sluggish exports have impacted these automotive giants.
Key Takeaways
- GM Korea's annual sales dropped by 7.5% in 2025.
- Domestic sales for GM Korea fell by 39.2%.
- Renault Korea Motors saw a 17.7% decline in annual sales.
- Domestic sales for Renault increased by 31.3%.
- Expectations for a rebound in exports for Renault Korea.
Seoul, Jan 5 (NationPress) GM Korea, the South Korean branch of General Motors, announced on Monday that its annual sales experienced a decline of 7.5 percent in 2025 compared to the previous year, with a downturn in sales both domestically and internationally. The firm reported sales of 462,310 vehicles last year, down from 499,559 units in 2024, according to a release reported by the Yonhap news agency.
Domestic sales saw a significant decrease of 39.2 percent year-on-year, totaling 15,094 units, while exports dropped by 5.8 percent to 447,216 units.
In December alone, domestic sales were recorded at 1,142 units, a decrease of 36.6 percent compared to the prior year, while exports slightly decreased by 0.3 percent to 51,358 units.
Gustavo Colossi, GM Korea's vice president of sales and services, stated in the release, "In 2026, GM plans to enhance its brand presence in Korea by introducing a wide range of GMC and Buick models tailored for Korean consumers, while consistently providing high-quality services through our collaborative service network."
On a different note, Renault Korea Motors, the South Korean division of Renault S.A., reported on Monday that its annual sales fell by 17.7 percent from the previous year in 2025, primarily due to weak export performance.
Renault Korea's total sales reached 88,044 vehicles in 2025, a drop from 106,939 units the year before, as per their press release.
While domestic sales surged by 31.3 percent year-on-year to 52,271 units, exports saw a steep decline of 46.7 percent, totaling 35,773 units.
The company credited the robust domestic performance to a remarkable 85.5 percent year-on-year increase in sales of the Grand Koleos sport utility vehicle (SUV).
However, exports of the Arkana and QM6 SUVs plummeted by 54 percent and 96.2 percent, respectively, significantly impacting overall performance.
Renault Korea anticipates a rebound in exports in the upcoming year with the commencement of shipments for the Polestar 4 electric SUV, which began full-scale contract manufacturing at its Busan facility last year.
Point of View
It is essential to note that the automotive industry in South Korea is currently grappling with significant challenges. The sales dip for GM Korea and Renault Korea Motors highlights the impact of both domestic demand and international market conditions. Observing these trends will be crucial for stakeholders in the industry as they navigate future strategies.
NationPress
06/01/2026
Frequently Asked Questions
What caused GM Korea's sales decline?
GM Korea's sales declined by 7.5% in 2025, primarily due to weak domestic demand and sluggish exports.
How did Renault Korea Motors perform in 2025?
Renault Korea Motors reported a 17.7% decline in sales, mainly influenced by poor export performance, despite a rise in domestic sales.
What were the sales figures for GM Korea in 2025?
GM Korea sold 462,310 vehicles in 2025, down from 499,559 units in 2024.
What strategies does GM Korea have for 2026?
GM Korea plans to enhance its brand presence in Korea by introducing a diverse lineup of GMC and Buick models while maintaining high-quality service.
What is the expected trend for Renault Korea's exports?
Renault Korea anticipates a rebound in exports in the new year with the launch of the Polestar 4 electric SUV.
