Domestic sales of mini cars, which hit an all-time low last year, are showing signs of rebounding this year amid high oil prices and high inflation and high interest rates.
According to Kaizuyu Data Research Institute on the 25th, registrations of new mini passenger cars (mini cars) totaled 28,417 units from January to April this year, up 12.8% from the same period last year (25,183 units).
This is the exact opposite of last year, when domestic mini car sales plunged 24.8% year over year to 74,600 units, an all-time low. Domestic mini car sales peaked at 204,150 units in 2012, then fell below 100,000 in 2020 (98,733 units). Since then, they have fluctuated around the 100,000 level while trending downward.
This year's increase in mini car sales is seen as driven by high oil prices due to the Middle East crisis, rising car prices, and the burden of maintenance costs caused by high interest rates.
Looking at sales rankings by mini car model, sales of the Kia Morning (7,977 units) surged 59.9% from a year earlier. It appears to be because purchase and maintenance costs are the lowest. The Kia Ray (17,311 units) and Hyundai Motor Casper (3,058 units) ranked within the top three in mini car sales, but they were at similar levels to the same period last year.
A look at buyers also supports this view. According to the Korea Automobile & Mobility Association (KAMA), purchases of mini cars by people in their 60s and by corporations from January to April this year rose 26.8% and 18.9%, respectively, from the same period last year.
Analysts say this is because demand for lower maintenance costs is stronger among people in their 60s. It is also suggested that self-employed people and small business owners chose mini cars for business use, delivery, and short-distance sales.