S. Korea`s auto output falls 10.7 pct in September

SEOUL, Oct. 6 (Yonhap) -- South Korea's production of cars, trucks and buses fell 10.7 percent in September from the same month last year, dragged down by weaker demand in the United States and Europe, an industry group said Monday.

Output fell to 259,012 vehicles for the fourth consecutive month of declines, the
Korea Automobile Manufacturers' Association said in a statement. September's fall
was the biggest monthly drop so far this year.
South Korea is home to the world's sixth-largest automaker, Hyundai Motor Co.
together with its affiliate Kia Motors Corp.
The group said sluggish exports to the U.S. and European markets and persistently
weak domestic consumption were behind the decline.
Last month, auto exports slipped 10.4 percent to 179,786 vehicles with domestic
sales down 14.5 percent to 78,585, the group said.
Earlier in the day, Finance Minister Kang Man-soo said the spiraling global
financial turmoil is starting to affect the South Korean real economy.
"The global financial crisis has already began affecting our real economy," Kang
said during a parliamentary audit session.
Last week, Hyundai Motor Chairman Chung Mong-koo told reporters his auto
conglomerate will try to escape the fallout of the U.S.-sparked global financial
turmoil by focusing on sales in Europe.
In September, Hyundai sold 24,765 vehicles in the U.S., down 25.4 percent from a
year earlier, marking the third straight monthly decline.
In the first nine months of this year, Hyundai sales in the U.S. sunk six percent
from a year ago to 337,664 units. Despite the decline, Hyundai has maintained its
U.S. sales target of 515,000 units for this year.