Analysis-South Korea's booming used car exports cushion impact of US tariffs

Core Insights - South Korea's used car exports are booming, helping to offset the impact of U.S. tariffs on new car sales [1][2][4] - The used car export market is experiencing significant growth, with a 35% increase in exports in August [4] - Demand for older Hyundai and Kia vehicles in markets like Russia and the Middle East is driving this growth [4][5] Export Performance - In August, South Korea exported $5.5 billion worth of cars, marking a 9% increase year-over-year and the highest monthly total on record [4] - Used car exports reached $711.5 million in August, reflecting a strong demand in international markets [4] Market Dynamics - The U.S. tariffs have negatively impacted new car exports but have not significantly affected the used car market, as demand from other countries remains robust [5][6] - South Korean used cars are preferred in certain markets due to their design for right-side driving, making them more attractive compared to Japanese vehicles [6] Future Outlook - The tariffs could potentially lead to increased demand and higher prices for used vehicles in the future [7]