Hyundai Motor Group share falls as imports surge

Apr 23, 2026, 08:18 am

Hyundai Motor Group saw its domestic market share decline by 4.6 percentage points over the past year as imported car brands such as Tesla, BMW and Mercedes-Benz gained ground.

According to data from the Kaizyu Data Research Institute on April 22, total passenger car sales in Korea reached 369,345 units in the first quarter, of which Hyundai Motor, Kia and Genesis accounted for 263,518 units. This translated into a combined market share of 71.3%, down from 75.9% a year earlier.

During the same period, imported vehicles increased their market share from 16.9% to 22.2%. Tesla’s sales surged 334.8% on strong demand for the Model Y, while BMW and Mercedes-Benz also posted growth rates above the market average. Industry observers attributed the shift to rising demand for electric vehicles and aggressive promotional strategies by foreign brands.

Amid global uncertainties such as changes in U.S. trade policies and geopolitical risks in the Middle East, the decline in domestic market share is adding pressure on Hyundai Motor Group. In response, the group plans to regain ground by launching new volume models.

Hyundai Motor will introduce fully redesigned versions of the Avante and Tucson in the compact segment, along with facelift models of the Grandeur and Santa Fe to strengthen its lineup.

Kia, meanwhile, released a fully redesigned version of the Seltos in January. The small SUV, which has led its segment for six consecutive years, now includes a hybrid variant. Sales are expected to pick up in the second quarter as the model gains traction.

Genesis, the group’s premium brand, is also expanding its lineup to defend market share. It launched its first high-performance model, the GV60 Magma, in January, and is expected to introduce the flagship electric SUV GV90 in the second half of the year. The GV90 is expected to compete with models such as the Mercedes-Benz EQS SUV and the BMW iX.

An industry official said the competitive landscape in Korea’s auto market is shifting from domestic mid-sized brands to imported vehicles, adding that Hyundai Motor Group is likely to respond with new model launches and stronger after-sales services.

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