SEOUL, Feb 23 (Bernama-Yonhap) -- South Korea's exports of auto parts to the United States hit a record high last year, data showed on Sunday, as experts weigh the potential impact of incoming auto tariffs from the US, reported Yonhap news agency.
Exports of automotive parts to the US totalled US$8.22 billion in 2024, up from US$8.08 billion in the previous year, according to data compiled by the Korea Auto Industries Coop Association.
The figure has been on a steady increase from US$6.91 billion in 2021 and US$8.03 billion in 2022.
In 2024, shipments to the US accounted for 36.5 per cent of the country's total auto parts exports at US$22.55 billion, according to the data.
The European Union was the second-largest destination of South Korean auto parts, accounting for 17.3 per cent of overall exports last year, followed by Mexico with 9.5 per cent and China 6.4 per cent.
The report comes amid concerns that the Donald Trump administration's plan to impose 25 per cent tariffs on all auto imports may seriously dent South Korea's exports and auto industry.
"Challenges are inevitable, either directly or indirectly, as (auto parts) are directly related to completed vehicles," an industry official said.
South Korea's auto exports amounted to US$70.78 billion last year, with shipments to the US accounting for 49.1 per cent of the total.
Still, some experts offered an optimistic view, noting that South Korea's auto parts may act as a substitute for those of China as the trade war between the US and China intensifies.
"Additional tariffs will be imposed on major countries, including South Korea, but an even stronger 'bombardment of tariffs' will be imposed on China," said Kim Kyung-yoo, a senior researcher at the Korea Institute for Industrial Economics and Trade, in a report.
"With a 60 per cent uniform tax imposed on imported Chinese auto parts, we expect some benefits on our part as Chinese goods are substituted with South Korean ones," Kim said.
-- BERNAMA-YONHAP
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