S. Korea's auto output slips 25.7 pct in May

SEOUL, June 4 (Yonhap) -- South Korea's production of cars, trucks and buses
dropped 25.7 percent in May from the same month last year as the bruising
economic downturn shrunk demand at home and overseas, producers said Thursday.

Output dropped to 256,371 units, marking the 12th consecutive monthly decline,
the Korea Automobile Manufacturers' Association said in a statement.
A 36.9-percent plunge in exports, especially weaker shipments to the United
States and Europe, was behind the decline, the association said
Domestic sales rose 15.3 percent in May, thanks to the government's tax cuts.
Starting May, the government cut taxes by 70 percent for new vehicles to spur
demand.
Over the first five months of this year, output was down 29.4 percent to 1.21
million units, according to the statement.
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