Forecast: Passenger Cars in Use in South Korea

The total number of passenger cars in use in South Korea stood at 18.92 million units in 2023. Over the last decade, the market has exhibited moderate growth with shifts in trend. The rate of increase ranged from as high as 5.17% in 2015 to a significant drop of -15.52% in 2020, followed by a robust rebound in 2021 with a 16.43% increase. The average compound annual growth rate (CAGR) over the past five years was 1.73%, indicating steady market recovery and growth.

Key Trends:

• From 2024 onwards, forecasts suggest a continued rise in the number of passenger cars, reaching 20.42 million units by 2028.
• The forecasted CAGR for the next five years is 1.26%, showing a slight slowdown compared to historical rates.
• The overall growth rate for the five-year period is expected to be 6.46%.

Future trends to watch for include the impact of electric vehicle adoption, changes in government policies regarding emissions, and shifts in consumer preferences toward mobility solutions. Analyzing these factors will provide deeper insights into the evolving automotive market landscape in South Korea.