Three out of 10 drivers considering buying a vehicle are looking at imported cars. A decade ago, imported cars were seen as "luxury goods," but perceptions appear to have shifted as prices of domestic cars have risen and the range of imported options has expanded.
On the 21st, according to the Korea Automobile Importers & Distributors Association (KAIDA), 31.5% of consumers who plan to buy a vehicle within the next two years said they are considering only imported brands. That figure has doubled compared with 2015. This "imported car perception survey" was conducted with 1,500 driver's license holders ages 20–59 living in 17 metropolitan cities and provinces nationwide.
The popularization of imported cars appears to be the biggest factor. In the past, the market centered on German imports such as Mercedes-Benz, BMW, and Audi, but over the past 10 years, brands like Volvo, Volkswagen, and Lexus have also become mainstream. More recently, electric vehicle brands such as Tesla and BYD have entered the market.
Rising prices for domestic cars, which narrowed the price gap with imports, also seem to have played a role. Depending on the trim, the Genesis G80 sells for 58.99 million–85.79 million won, not much different from comparable models like the BMW 5 Series and Audi A6 Series. For BYD's Atto 3, released in March this year, the base trim sells for 31.5 million won, cheaper than comparable models from Hyundai and Kia.
As imported cars have become mainstream, nearly "half (48.8%)" said this had a positive effect on strengthening the competitiveness of domestic cars. As the imported car market has grown, vehicle quality and technology have leveled up across the board, and it has provided momentum for the premium and luxury car market to expand. Those who have purchased an imported car directly, or have indirect experience with one, rated the competitiveness of imports even higher.
As imported cars have become mainstream, the market share gap with domestic cars is expected to narrow further. Respondents said the market share of imported cars in the domestic market will expand to 26.3% in 10 years. The most cited reason was "stronger price competitiveness of imported cars," at 31.0%.