Sales of imported cars in S. Korea drop 18.5 pct in March

SEOUL, April 6 (Yonhap) -- Sales of imported vehicles in South Korea dropped 18.5 percent in March from the same period a year ago as consumers shunned big-ticket spending with the nation's economy headed for its first recession in a decade, an industry group said Monday.

Import sales totaled 4,711 units last month, compared with 5,782 units for the
same month a year earlier, the Korea Automobile Importers and Dealers Association
said in a statement.
South Korea's soft currency, which makes imported vehicles more expensive here,
also contributed to the sales decline, the association said.
"New-registration of imported cars in March fell on a sluggish economy and
currency burdens," Yoon Dae-sung, executive vice president of the association,
said in the statement.
In the first three months of this year, sales of imported vehicles in South Korea
declined 22.5 percent from the same period a year earlier to 12,134 units,
according to the group.
Hit by the global economic crisis, South Korea's economy is expected to shrink
2.2 percent this year, which would mark its first annual contraction since 1998.
Germany's BMW AG was the most popular foreign car brand in South Korea last
month, with 799 cars sold, followed by Volkswagen AG's 724 units and
Mercedes-Benz's 605 units.
Previously, the association expected imported auto sales in South Korea to fall
17.3 percent to 51,000 units this year amid sluggish demand and tight credit.
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