SEOUL, SOUTH KOREA / RankWire.AI / – In July 2026, South Korea’s automobile exports reached a record-high total of US$6.24 billion, reflecting a 7.0% increase compared to the previous year. This figure marks the highest export value ever recorded for the month of July. The Ministry of Trade, Industry and Resources reported that exports exceeded the previous July record of US$5.90 billion set in 2023. July 2025 exports totaled US$5.83 billion. Additionally, domestic vehicle sales saw a slight rise of 0.5% to 139,000 units, while production surged 11.3% to 352,000 vehicles.
The primary driver behind South Korea’s export growth in July was the strong performance of eco-friendly vehicles. Their export value increased by 25.5% year on year to US$2.59 billion. Electric and hydrogen vehicle exports jumped 31.9% to US$940 million, while hybrid exports grew 22.2% to US$1.65 billion. Conversely, exports of internal combustion engine vehicles declined by 3.1%, amounting to US$3.65 billion. Eco-friendly models constituted approximately 41.5% of the total automobile export value in July.
North America remained South Korea’s largest regional market, with exports rising 18.0% to US$3.25 billion, as noted in exports. Shipments to the European Union increased by 23.5% to US$880 million. Exports to the Middle East also rose, climbing 12.7% to US$430 million and marking their first year-on-year growth in eight months. Meanwhile, exports to Asia decreased by 27.1%, and shipments to Central and South America fell 7.4%. The regional data highlighted the most significant gains in North America, the European Union, and the Middle East.
Eco-friendly vehicles drive July export growth
The ministry attributed the export increase in July to a higher number of operating days and ongoing demand for eco-friendly vehicles and SUVs abroad. Automakers shifted their summer vacation schedules from July in 2025 to August in 2026, which resulted in more working days during the month. The same calendar shift contributed to higher production, which rose 11.3% year on year to 352,000 units, following June’s output of 394,000 vehicles—an 11.6% increase from the previous year.
South Korea’s domestic auto market experienced a smaller growth of 0.5% compared to last year, with sales reaching 139,000 units in July. Eco-friendly vehicles accounted for 84,000 of those sales, approximately 60% of the domestic market. Electric vehicle sales increased significantly by 47.5%, totaling 36,000 units. As a result, eco-friendly models made up about three out of every five vehicles sold domestically in July. Overall, domestic vehicle sales remained close to their levels from the same month in the previous year.
Strong performances in North America and Europe
These auto sector results contributed to a broader upward trend in South Korea’s exports during July. The total value of goods exported reached US$98.89 billion, the second-highest monthly figure on record and a 62.8% increase compared to the same month last year. Automobiles contributed US$6.24 billion to that total. Exports of semiconductors hit US$41.01 billion, while ship exports reached US$3.29 billion. Of the 20 main export categories, 19 experienced year-on-year growth in July, including automobiles.
The release of these figures coincided with a meeting on Aug. 13 involving government officials and industry representatives to review the current state of the automobile sector. Hyundai Motor, GM Korea, KG Mobility, and Renault Korea participated alongside industry and research organizations. Discussions focused on July’s export trends, the shift toward future vehicles, and collaboration with parts suppliers. The data confirmed simultaneous year-on-year increases in exports, domestic sales, and production, with eco-friendly models playing a significant role in both export value and domestic demand.