Drivers behind S. Korea’s record-breaking used car exports

It's not just K-pop or Korean food that have been at high demand globally so are vehicles used here in the country.

What are the drivers behind South Korea's record-breaking used car exports?

Park Jun-han tells us.

What some in Korea see as outdated or no longer needed can become a brand new start on the other side of the world.

Such as used cars.

South Korea's used car export market is gaining momentum, with shipments this year projected to exceed 10 trillion won—approximately 7.25 billion U.S. dollars—for the first time on record.

With rising popularity in the Middle East, exports in June 2025 alone jumped nearly 68 percent year-on-year, extending the strong growth trend that began in the early 2020s.

I'm sitting in a used Korean car that is ready to be shipped overseas.

In fact, thousands of cars like this leave this lot every day to welcome new owners around the world.

Still runs perfectly.

Industry insiders claim that the vehicles made in Korea are well-known for their affordability, reliability, and accessibility.

“Korean used cars are exported to around 160 countries. Not only are they high in quality and equipped with many features, but they're also competitively priced. On top of that, Korea has a well-established parts supply system and after-sales services around the world.”

Used car exports involve complex but streamlined processes, including vehicle collection, inspection, repairs, deregistration, and coordination with customs brokers and freight forwarders.

Once loaded onto ships, vehicles begin their second life overseas.

Despite the positive outlook, there are looming risks.

Local exporters shared concern over rising shipping costs and tightening import regulations abroad, especially in light of the U.S. government's recent tariff actions that could impact the price of overseas car shipping.

“Our biggest concern right now, especially with the hike in U.S. tariffs, is the spike in freight rates. A couple of months ago, the cost nearly tripled, and it's been fluctuating ever since. That's become one of the biggest challenges for dealers like us.”

Supported by continued demand for used vehicles, coupled with government support to deal with regulatory challenges in global trade, South Korea's used vehicle exports are expected to grow steadily.

Park Jun-han, Arirang News.