The sales of 1-ton (t) trucks, commonly used by self-employed individuals and small businesses, have fallen below 40,000 units in the first half of the year, marking the lowest level since the foreign exchange crisis in 1998 (27,407 units). It is analyzed that the drop is due to the shift of the powertrain of the Porter and Bongo from traditional diesel to electric and liquefied petroleum gas (LPG) along with an economic downturn.
According to the automotive statistics monthly report published by the Korea Automobile & Mobility Association (KAMA) on the 27th, 39,839 new 1-ton trucks (Porter, Bongo, Labo) were registered domestically in the first half of this year. This is a decrease of 28.2% compared to the same period last year (55,506 units). The sales this year in the first half are the third lowest on record, following 1998 and 1991 (33,432 units). Sales figures for the first half of 2020 and 2022, when self-employed individuals were hit hard by COVID-19, were 72,500 units and 69,125 units, respectively.
The primary reason for the decrease in sales of 1-ton trucks is attributed to the change in powertrains. Hyundai Motor Company and Kia, which produce the Porter and Bongo, discontinued diesel 1-ton trucks for the first time in over 40 years due to environmental regulations last year. Although they have replaced them with electric and LPG options, the inconvenience of charging compared to diesel is preventing them from achieving past sales levels. Sales of the Porter were reported at 28,379 units, a 26.4% decrease from the same period last year (38,561 units), while the Bongo saw a 32.3% drop to 11,460 units.
The 1-ton truck is a representative vehicle type often used by self-employed individuals and small businesses and is frequently utilized on small construction sites. The sales of 1-ton trucks show a trend similar to that of the economy. An industry official in the completed vehicle sector noted, "Porter and Bongo have been models that sold well, but the demand for vehicle replacements has also decreased."
According to the National Tax Service's tax statistics, the number of businesses (individuals and corporations) that reported closures last year reached 1,008,282, surpassing 1 million for the first time in history. Of this number, 45% were in retail and restaurant sectors, with business downturn cited as the most common reason for closure. The closure rate last year was 9.04%, a slight increase from the previous year (9.02%).
Demand for used trucks has also decreased. According to the Kaizyu Data Research Institute, the number of transactions for used 1-ton trucks in the first half of this year was 71,874, a 13.4% decrease from the same period last year (83,032 units). The number of transactions for diesel 1-ton trucks, which had been popular in the used car market post-discontinuation, also recorded 61,431 units, the lowest in the past five years.