Japanese Automakers’ Sales Fall In South Korea Amid Consumer Boycott
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Japanese automakers posted sharper sales falls in South Korea in August, industry data showed on Wednesday, hit by a consumer boycott of Japanese vehicles amid a worsening diplomatic row between the countries.
Toyota Motor Corp and other Japanese carmakers saw South Korean sales tumble 57% to 1,398 vehicles in August from a year earlier, steeper than the 17% fall in July.
Japan’s decision in July to tighten controls on exports of materials that South Korea uses to make semiconductors and display screens has prompted a consumer backlash in Korea, with consumers boycotting Japanese products such as beer, clothes, vehicles and tours to the neighboring country.
Relations between the two U.S. allies had already soured over South Korean demands for Japanese compensation for South Korean forced laborers during World War Two.
Toyota’s South Korean sales fell 59% to 542 in August from a year earlier, while Honda Motor’s sales tumbled 81% to 138.
Toyota’s Lexus was the top-selling Japanese brand in South Korea, with sales reaching 603 vehicles in August, up 7.7% from year earlier, but down 39% from July.
Questions & Answers
Q.What triggered the consumer boycott of Japanese products in South Korea?
What triggered the consumer boycott of Japanese products in South Korea?
Japan's decision in July to tighten controls on exports of materials used by South Korea for semiconductors and display screens led to a consumer backlash. This prompted the boycott of Japanese goods, including vehicles.
Q.How did Japanese automakers' sales in South Korea compare to the previous month?
How did Japanese automakers' sales in South Korea compare to the previous month?
Japanese automakers' sales in South Korea fell 57% in August compared to the previous year, which was a steeper decline than the 17% fall reported in July. Total sales reached 1,398 vehicles in August.
Q.Which Japanese car brand performed best in South Korea despite the overall sales decline?
Which Japanese car brand performed best in South Korea despite the overall sales decline?
Toyota's Lexus was the top-selling Japanese brand in South Korea during August. Its sales reached 603 vehicles, showing a 7.7% increase from the previous year, although down 39% from July.
Q.What is the broader historical context behind the tensions between South Korea and Japan?
What is the broader historical context behind the tensions between South Korea and Japan?
Relations between the two countries were already strained over South Korean demands for compensation. These demands are related to South Korean forced labourers during World War Two, adding to the ongoing diplomatic issues.
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