Korean Automobile Industry

Annual Report 2011Korean AutomobileIndustryKorea Automobile Manufacturers Association

Korea Automobile Manufacturers Association(KAMA) is a non-profit organization,representing the interests of automakers in Korea. KAMA is also dedicated to the soundgrowth of the automobile industry and the development of the national economy.KAMA concentrates its efforts in the following areas : Representing the interests of Korean automakers Promoting international cooperation and adressing trade issues Recommending environmental and safety-related policy and regulations Enhancing consumer satisfaction and fair trade Leading public opinion on automobile industry and promoting public relations Publishing analysis, research and data on automobiles Organizing Seoul Motor Show

ContentsKorean Automobile IndustryAnnual Report 20114 OverviewRenewing production record riding on overall recovery ofglobal auto demand7 ProductionA record high thanks to robust growth of exports as well assteady domestic sales9 Domestic SalesDomestic demand continued its upward pace withoutgovernment's incentive12 ExportsA 29.0% leap attributed to recovering global demand andimproved competitiveness of Korean vehicles14 ImportsSales of imported cars soared and occupied 7.8% share inKorean market16 Offshore ProductionSurpassed 2.6 million-unit-mark under the ongoing expansionof global management18 Taxation19 Automobile Safety21 Environmental Requirements23 Statistics51 Member Companies57 Related Organizations

OVERVIEWRenewing production record riding onoverall recovery of global auto demandKorean auto industry in 2010 escaped from the spillover of global economicdepression which seen for the last 2 years since 2008 and its production saw thebiggest-ever record. It took a full advantage of the restoring pace in global major automarkets as well as the recovery of home-sales. And the consecutive releases of newmodels such as Hyundai's Avante, Accent, Kia's Sportage R, K5, GM Korea'sAlpheon and Renault Samsung's SM5 led to the increase of auto demand in and outof country. The sales of imported passenger cars in Korean market recorded at 97thousand units and rewrote its highest record. Due to the stable labour-relationsresulting in no production difficulty, each of major auto makers saw an improvementin productivity and operation rate. In the meantime, overseas production under thefavourable condition on small and medium-sized cars in Hyundai and Kia, exceeded2.6 million-unit-mark in annual record.Vehicle production in 2010 posted a rise of 21.6% to 4.3 million units, hitting a newrecord, attributed to the high leap of exports and steady growth of domestic sales.In spite of the absence of government's incentive, domestic sales in 2010 grew 5.1%recording 1.5 million units, fueled by persistent recovering trend in domestic economyand consolidated consumer confidence coupled with makers' varied new modelintroductions and enhanced marketing strategies.Exports in 2010 leapt 29.0% shipping 2.8 million vehicles, triggered by the turnaroundof auto demand around the whole globe from US to emerging nations, improvedquality and consumer reliability on Korean vehicles, increased new modelintroductions, strengthened competitive price due to strong Japanese yen and4Korean Automobile Industry 2011

elevated brand image through World-Cup marketing. Total export value includingauto parts recorded U$54.4 billion and took up 11.7% of total exports in Korea.Sales of imported passenger cars in 2010 soared 40.5% to 97 thousand units, ridingon the rise of purchasing power under the economic recovery, expanded targetconsumers,varied model debuts and makers' active marketing, thus it accounted for7.8% share of Korean market.Offshore production of Korean auto makers, led by Hyundai and Kia, reached 2.6million units in 2010 contributed from the start-up of production in US Georgia, as wellas the accelerating operation in current transplants across US Alabama, China, India,Slovakia, Czech and Turkey.Trends of Automobile Production, Domestic Sales and Exports5,0004,5004,0003,5003,0002,5002,0001,5001,000500(Thousand units)2003 2004 2005 2006 2007 2008 2009 2010(Thousand units)Classification 2003 2004 2005 2006 2007 2008 2009 2010Production 3,178 3,469 3,699 3,840 4,086 3,827 3,513 4,272Domestic Sales 1,318 1,094 1,143 1,164 1,219 1,154 1,394 1,465Exports 1,815 2,380 2,586 2,648 2,847 2,684 2,149 2,772Imports 30 34 45 55 73 81 69 105Note : 1. Domestic sales are only of Korean vehicles.2. Exports and imports are based on customs clearance.5

The Status of Korean Auto IndustryAuto industry ranked No.1 in employment, production and added-value amongmanufacturing industry.(Thousand persons, trillion won)Classification Employment Production Added ValueAuto Industry ('09) 250 113 35Share ofManufacturing Industry10.2% 10.1% 9.4%Export value of automobiles reached U$54.4 billion in 2010 occupying 11.7% of totalnational exports. It is an export-oriented industry accounting for around 65% share ofthe total vehicle production.(Billion U$)Classification Automobile Semiconductor Shipbuilding Machinery Mobile PhoneExports('10) 54.4 50.7 49.1 36.1 27.6Share ofTotal Exports11.7% 10.9% 10.5% 7.7% 5.9%Automobile is a job-creating industry and contributes to vitalizing local economy,widely spreading in metropolitan areas (Incheon and Gyeonggi province),southeastern (Ulsan, Busan and Changwon), southwestern (Gunsan, Jeonju andKwangju) and Choongchung (Asan and Seosan) regions in Korea.Auto industry facilitates future industrial structure to advance, in developing Hybrid,Electric, Fuel Cell cars and etc. The share of electronic components in automobiles isexpected to enlarge 20% to over 40% by 2015.6Korean Automobile Industry 2011

PRODUCTIONA record high thanks to robust growth ofexports as well as steady domestic salesAutomobile production in 2010 jumped 21.6% year-on-year to 4.3 million units,posting a new record, triggered by the high growth rate of exports and steadydomestic sales. Vehicle production capacity in 2010 marked at 4.8 million units withan 89.2% operation rate, up considerably by 15.8%p from the previous year.In global top 5 countries in vehicle production for 2010, Korea maintained its fifthplace following China, Japan, US and Germany. China, on the ground of the ongoingeconomic growth and government's incentive package, shot up 32.4% to 18.3 millionunits and ranked in the first place for the two consecutive years. Every country in theglobal top 5 showed a double-digit growth rate.By vehicle type, passenger cars rose by 22.4% at 3,866 thousand units, andcommercial vehicles climbed 14.4% particularly driven by the increase of bus(26.3%).By maker, all the major 5 makers saw upward pace and especially, Hyundai, Kia andRenault Samsung set its historic annual record. Hyundai, the biggest maker,produced 1,743 thousand units, up 8.5% from a year ago. Kia, with the bullish salesin and out of nation, leapt 24.6% recording 1,417 thousand units. GM Korea andRenault Samsung, boosted by the upbeat of exports, picked up 39.8% and 45.0% or744 and 275 thousand units respectively. Ssangyong, thanks to the stabilizedmanagement, surged 130.7% achieving 80 thousand units.7

Production by Vehicle Type(Units, %)Vehicle Type 2009 2010 % chg.shareshareTotal 3,512,926 100.0 4,271,741 100.0 21.6Passenger Cars 3,158,417 89.9 3,866,206 90.5 22.4Commercial Vehicles 354,509 10.1 405,535 9.5 14.4Bus 108,857 3.1 137,521 3.2 26.3Truck 245,652 7.0 268,014 6.3 9.1Production by Maker(Units, %)Maker 2009 2010 % chg.shareshareTotal 3,512,926 100.0 4,271,741 100.0 21.6Hyundai 1,606,879 45.7 1,743,375 40.8 8.5Kia 1,137,176 32.4 1,416,681 33.2 24.6GM Korea 532,191 15.1 744,096 17.4 39.8Renault Samsung 189,831 5.4 275,269 6.4 45.0Ssangyong 34,703 1.0 80,067 1.9 130.7Others 12,146 0.3 12,253 0.3 0.9Global Top 5 Countries in Vehicle Production(Units, %)Ranking2009 2010Country Production share Country Production share1 China 13,790,994 22.1 China 18,264,667 23.42 Japan 7,934,057 12.7 Japan 9,625,940 12.33 US 5,709,431 9.2 US 7,743,093 9.94 Germany 5,209,857 8.4 Germany 5,905,985 7.65 Korea 3,512,926 5.6 Korea 4,271,741 5.5Global Total 62,328,423 100.0 Global Total 78,139,349 100.08Korean Automobile Industry 2011

DOMESTIC SALESDomestic demand continued its upwardpace without government's incentiveDespite the absence of government support such as the 30% tax-cut of individualconsumption tax and scrappage incentive implemented in 2009, domestic salesposted a 5.1% growth to 1,465 thousand units, on account of continued recoveringpace in domestic economy, consolidated consumer confidence, makers' varied newmodel introductions and reinforced marketing strategy such as low interest rate forinstallment financing.With improved consumer confidence due to the rebound of real economy and littleloss in production thanks to successful collective-agreement without strikes by majorfive makers, steady domestic sales were maintained through the year registeringaround 120 thousand units on monthly-average basis.By type, passenger cars grew by 3.7% to 1,218 thousand units and commercial vehiclesclimbed 13.0% to 248 thousand units, driven by the sales-upbeat of bus and truck.Within passenger car segment, mini and medium-sized cars saw an increase inhome sales. Medium-sized cars, with keen competition among new models such asHyundai's Sonata, Kia's K5, Renault Samsung's New SM5 and Mini cars, witheconomic benefit of maintenance cost, recorded double-digit growth rate. On theother hand, large-sized cars, despite new model introduction of Alpheon, posted aslight decline owing to the market-penetration by imported cars.The substantial growth-rate(13.0%) of commercial vehicles is attributable to theincreased trade-volumes in line with economic recovery and rise of industrial demandboosted by the expansion of government's construction investment. 1-ton trucks,regarded as a barometer for business condition being used for small enterprises,gained 15.0%.9

By maker, except for Hyundai, all the makers were on the increase in 2010. Hyundaisolely decreased 6.1% from a year ago, because of tough competition between majormodels. Riding on the new model release effect from K5 and Sportage R along withsteady sales-increase of New Morning, K7 and Sorento R, Kia jumped 17.4%.Renault Samsung also leapt 16.5% on the ground of new model debut of New SM5and constant sales-upbeat of New SM3. Under the new model release effect ofAlpheon combined with steady-demand on Matiz Creative and Lacetti Premiere, GMKorea rose 9.5% from a year earlier. Recovering pace in sales after linenormalizationand favourable results on Rexton and Actyon Sports enabledSsangyong to see a 46.3% hike.Domestic Sales by Type(Units, %)Category 2009 2010 % chg.shareshareTotal 1,394,000 100.0 1,465,426 100.0 5.1Passenger Cars 1,174,743 84.3 1,217,764 83.1 3.7Mini 135,753 9.7 160,579 11.0 18.3Small 328,512 23.6 309,772 21.1 -5.7Medium 455,858 32.7 526,473 35.9 15.5Large 254,620 18.3 220,940 15.1 -13.2Commercial Vehicles 219,257 15.7 247,662 16.9 13.0Bus 65,501 4.7 70,261 4.8 7.3Truck 142,570 10.2 165,291 11.3 15.9SPV 11,186 0.8 12,110 0.8 8.3Note : SPV is Special Purpose Vehicles10Korean Automobile Industry 2011

Domestic Sales by Maker(Units, %)Maker 2009 2010 % chg.shareshareTotal 1,394,000 100.0 1,465,426 100.0 5.1Hyundai 702,678 50.4 659,565 45.0 -6.1Kia 412,752 29.6 484,512 33.1 17.4GM Korea 114,845 8.2 125,730 8.6 9.5Renault Samsung 133,630 9.6 155,697 10.6 16.5Ssangyong 22,189 1.6 32,459 2.2 46.3Others 7,906 0.6 7,463 0.5 -5.6Top 10 Best-Selling Cars in 2010YF SONATANew MORNINGAVANTE MDSM5(L43)AVANTE HDK5MATIZ CreativeNew SM3TUCSON ixFORTE(Koup)464353636256677710213630 60 90 120 150(Thousand units)11

E XPORTSA 29.0% leap attributed to recovering global demandand improved competitiveness of Korean vehiclesExports in 2010 rose 29.0% selling 2,772 thousand vehicles outside, fueled by theoverall rebound in auto demand around the globe from US to emerging nations,except West Europe where auto demand was on the decrease due to dampenedeconomy, enhanced quality and consumer reliability on Korean vehicles, increasednew model introductions, improved price-competitiveness due to strong Japanese yenand elevated brand image through World-Cup marketing.Exports turned positive to the considerable level of growth from the depressive pasttwo years, which is attributable to the increase of auto demand in US, the largestmarket, market-diversification strategy to emerging nations covering East Europe,Middle East and Latin America, and stable supply thanks to strike-free collectiveagreement.In exports by region, all the areas except Africa, were on the growth. Despite theexpansion of overseas production, exports to North America grew by 11.4% thanks tothe improved quality, reliability and competitive price and those to Europe shot up34.6% spurred by bullish demand in Russia, UK, Spain and Hungary coupled withnew model introductions. In the meantime, due to the high growth-rate of localeconomy and introduction of export-oriented models, exports to Middle East and LatinAmerica soared 39.8% and 57.3% respectively.In the major five makers, each of maker showed more than double-digit growth ratesustaining its growth pace. Hyundai and Kia, despite the expansion of overseasproduction and demand-contraction in West Europe, jumped 17.7% and 25.0% eachdriven by increased new models such as YF Sonata, Tucson ix, Sportage R andSorento R combined with price-advantage over strong yen. GM Korea, with stabilizedmanagement of GM as well as solid exports of Lacetti and Winstorm, was up 42.3%.Renault Samsung, encouraged by new-market development to China and MiddleEast in line with ballooning exports of QM5 and New SM5, surged 106.1%.Ssangyong skyrocketed 274.6%, boosted by new-market creation including MiddleEast, resuming shipment to Russia and start-up of Korando C.12Korean Automobile Industry 2011

Exports by Maker(Units, %)Maker 2009share2010share% chg.Total 2,148,862 100.0 2,772,107 100.0 29.0Hyundai 911,088 42.4 1,072,727 38.7 17.7Kia 736,024 34.3 920,057 33.2 25.0GM Korea 429,259 20.0 610,898 22.0 42.3Renault Samsung 56,175 2.6 115,783 4.2 106.1Ssangyong 12,747 0.6 47,756 1.7 274.6Others 3,569 0.2 4,886 0.2 36.9Exports by Region(Units, %)Region 2009share2010share% chg.Total 2,148,862 100.0 2,772,107 100.0 29.0North America 608,574 28.3 677,660 24.4 11.4US 449,403 20.9 510,952 18.4 13.7EU 302,124 14.1 298,263 10.8 -1.3Europe Others 98,424 4.6 241,021 8.7 144.9Middle East 419,797 19.5 586,740 21.2 39.8Latin America 283,956 13.2 446,615 16.1 57.3Africa 173,718 8.1 171,554 6.2 -1.2Pacific 147,570 6.9 180,317 6.5 22.2Asia 114,699 5.3 169,937 6.1 48.2Top 10 Export-Models in 2010FORTE218LACETTI (Premiere)AVANTEGENTRA-X(GENTRA)PRIDEVERNA(MC)TUCSON(ix)167167157151184206SOULi30(cw)MATIZ(Creative)11410913350 100 150 200 250(Thousand units)13

I MPORTSSales of imported cars soared andoccupied 7.8% share in Korean marketIn 2010, owing to the rise of purchasing power under the economic recovery,expanded target-consumers, a variety of model releases between 2,000 and 3,000cccars and makers' active marketing, sales of imported passenger cars picked up40.5% to 97 thousand units.Imported passenger car sales registered 96,849 units with a 40.5% jump and itsshare was expanded to 7.8% in domestic market, up 2.2%p from 2009(M/S 5.6%).By nation of origin, all the countries saw upward trend. German cars maintained itsleading position in the import market, leaping as much as 55.8% to 56,027 units.Japan ranked second with a 33.7% rise at 26,018 units and US stood in the thirdplace recording 8,668 units, up 19.9%. By maker, BMW ranked top followed by Benzand Toyota.With respect to engine displacement, cars less than 2,000cc and 2,000 to 3,000cccars surged 48.9%(30,201 units) and 63.0%(40,781 units) respectively thanks to theintroduction of varied range of new models, while cars over 3,000cc posted relativelymilder growth rate, up 9.3% to 25,867 units.14Korean Automobile Industry 2011

Imports of Foreign Vehicles120,000(Units)100,00080,00060,00045,33255,26973,22780,53769,002104,97740,00034,19520,0002004 2005 2006 2007 2008 2009 2010(Based on Customs Clearance)Imported Passenger Cars by Origin(Units, %)Region 2009 2010 % chg.shareshareTotal 68,952 100.0 96,849 100.0 40.5US 7,228 10.5 8,668 9.0 19.9EU 40,543 58.8 61,399 63.4 51.4Japan 19,462 28.2 26,018 26.9 33.7(Based on New Registration)Market Share of Imported Passenger Cars(Units, %)Classification 2009 2010 % chg.shareshareTotal 1,221,118 100.0 1,237,482 100.0 1.3Korean 1,152,166 94.4 1,140,633 92.2 -1.0Import 68,952 5.6 96,849 7.8 40.5(Based on New Registration)15

OFFSHORE PRODUCTIONSurpassed 2.6 million-unit-mark under theongoing expansion of global managementProduction in transplants has been expanding, from Turkey and India in late 1990s toChina in 2002, US Alabama in 2005, Slovakia in 2006, Czech in 2008 and USGeorgia in 2009. As a result, offshore production, less than 100 thousand units in2001, saw robust growth every year and recorded 2.6 million units in 2010.In terms of overseas production by maker, Hyundai produced 1,883 thousandvehicles and Kia totaled 722 thousand units, accounting for 72.3% and 27.7% ratiorespectively. On the basis of factory-production, the biggest one is Hyundai's Beijingplant with 704 thousand units, followed by Hyundai's India and Kia's China producing600 and 339 thousand units respectively. In 2011, overseas production is predicted toexpand as Kia's Georgia and Hyundai's Russia plants enter into full-scale operation.Meanwhile, KD(Knock-Down kits) exports rose by 17.6% year-on-year to 1,289thousand units. China ranked in the first place for the KD export destination followedby Uzbek, India, Mexico and Colombia. KD exports in 2011 are forecast to see a gainthanks to the increase of auto demand in primary emerging nations.16Korean Automobile Industry 2011

World-Wide Production Capacity(Thousand units)Production in Transplants by Maker & Country(Units, %)CountryTotal Hyundai Kia2009 2010 % chg. 2009 2010 % chg. 2009 2010 % chg.US 210,566 454,165 115.7 195,561 300,500 53.7 15,005 153,665 924.1China 814,852 1,043,307 28.0 571,234 704,441 23.3 243,618 338,866 39.1India 559,620 600,480 7.3 559,620 600,480 7.3 - - -Slovakia 150,021 229,505 53.0 - - - 150,021 229,505 53.0Turkey 48,640 77,000 58.3 48,640 77,000 58.3 - - -Czech 118,022 200,088 69.5 118,022 200,088 69.5 - - -Russia - 217 - - 217 - - - -Total 1,901,721 2,604,762 37.0 1,493,077 1,882,726 26.1 408,644 722,036 76.717

TAXATIONEleven types of taxes are levied to car owners in Koreaincluding public bond and fuel tax.Vehicle Taxation(As of March 2011)TaxesRatesPurchasePossessionIndividual Consumption TaxEducation TaxVATAcquisition Tax(Included former registration tax)BondAutomobile TaxEducation Tax- below 1,000cc : exempted- 1,001 ~ 2,000cc : 5% of ex-factory price- over 2,000cc : 10% of ex-factory price- 30% of individual consumption tax- 10% of retail price- private : 7%, commercial : 5% of retail price- 0 ~ 20% of retail price- 800cc below : \80/cc- 801 ~ 1,000cc : \100/cc- 1,001~1,600cc : \140/cc- 1,601~2,000cc : \200/cc- over 2,000cc : \220/cc- 30% of Automobile taxUseFuel ExciseTaxTransportation/Energy/Environment TaxLPGEducation TaxUnleadDiesel- \529/l- \375/l- \275/kg- 15% of fuel excise taxMotor Fuel Tax- 26.0% of Transportation∙Energy∙Environment taxVAT- 10% of fuel retail price※ Note : 1. Former registration tax was included into aquisition tax. (As of January 2011)2. Mini cars below 1,000cc are exempt from individual consumption, education and acquisition taxes.18Korean Automobile Industry 2011

AUTOMOBILE SAFETYGovernment, in theprimary policies forauto safety in 2011,sets the objective to"develope convenientand safe cars andprovide improvedtraffic services" withfollowing four coretasks.1. Construction of smart management system for automobile anddevelopment of high-safety advanced vehiclesSmart gathering system of traffic information between V2V(Vehicle to Vehicle) orV2I(Vehicle to Infrastructures) is available by equipping sensors on road and terminalson vehicles, while telematics intelligent-cars, covering navigation-information, remotecontrol, V2V communication, positioning system for car accidents or stolen cars andetc., are triggered to develop.High-safety and elderly-friendly high-tech vehicles, which include prevention againstcar accidents, passenger protection, damage-minimizing technology, warning systemfor drivers and eco driving, are encouraged to develope.2. Promotion to expand the distribution of green carsGovernment sets safety standards and implements test-drive around the airport ortourism complex for online EV, and improves battery-performance and introducesrental business related. And it draws a guideline to construct the battery-charginginfrastructure for EV and proceeds test-driving in some designated regions.To expand the distribution of green cars, the reduction of toll and parking price,designation of parking spaces, traffic priorities and exclusive license-plate for greencars, are promoted to introduce.3. Build-up an auto-safety guideline which are harmonized withglobal standardsIn order to enhance the global harmonization of safety-standards and lead to thecompetitive progress for the improvement of vehicle-safety and development of newtechnologies, self-recommendation guideline is to be implemented.Meanwhile, to improve auto-safety remarkably and supply overall information toconsumers, government makes an effort to bring the integrated grading system forNCAP(New Car Assessment Programme) and makes it mandatory to attach the labelof safety evaluation on vehicles.To secure the safe-driving in CNG bus, reinspecting system to check the damage andleakage on a regular cycle, is set to be implemented.19

4. Korea-EU and Korea-US FTAGovernment completed the official sign for the Korea-EU FTA in October 6, 2010 andit is scheduled to be effectuated as of July 1, 2011.According to the 5-years plan for the global harmonization of auto safety standardsestablished in 2010, government is pushing ahead with the global harmonization.Accordingly, Korean is phasing in the plan within 5 years by harmonizing domestic 47items completely, 9 items partially with EU standards and approving that 12 of EUitems are equivalent to those of Korean.Korean safety standards related to Korea-US FTA- In the initial agreement on Korea-US FTA, it gives an equal opportunity to makerswhich sell less than 6,500 vehicles in annual volume as long as it satisfied either USor Korean safety-standards, and at this time its limitation is lifted up to 25,000 units.It is specified that vehicles should be imported from US.- Korean is currently constructing the facilities and equipments in the KATRI, anorganization under the TS(Korea Transportation Safety Authority), which enable toinvestigate whether vehicles satisfy US standards or not for the imported cars madein US.20Korean Automobile Industry 2011

ENVIRONMENTAL REQUIREMENTS1. Emission RegulationsAuto makers(covering imports) should get the approval in accordance with theact defined by the Ministry of Environment that vehicles are manufactured basedon the specific emission regulations and should be able to maintain for theguaranteed period of the emissions.Petrol and gas-fueled vehicles are subject to US California's NMOG(Non-Methane Organic Gases) FAS(Fleet Average System) as of 2009.※ Fleet Average System :Makers can choose one of the four standards(LEV, ULEV, SULEV and ZEV) for theemission regulation, but each maker should satisfy the specific amount of NMOG-averageduring the designated years as described below.Emission Standards for Petrol or Gas Vehicles(NMOG, g/km)Classification 2009 ~ June 2012 July 2012 ~ Dec. 2013 2014 2015Mini vehicles, small cars, 0.025 0.024 0.023 0.022Small trucks below 1.7tSmall trucks over 1.7t,heavy duty trucks, 0.031 0.029 0.027medium cars, small MPVDiesel Vehicles are subject to EURO-5 standard with different adjustment of time bytype from September 2009.EURO-5 for Diesel VehiclesClassification 2009 2010 2011 2012Mini vehicles, small cars, new existingsmall trucks(below 1,305kg), vehicles vehiclesmedium cars, trucks as of Sept. as of Jan.Small cars(over 2.0t and 7 seaters), new existingsmall trucks(over 1,305kg), vehicles vehiclesmedium cars, trucks as of Sept. as of Jan.Heavy-duty large cars, trucks, new existingextra-large cars, vehicles vehiclessuper heavy trucks as of Sept. as of Oct.21

Guaranteed Period of the EmissionsFuelTypeminiGuaranteed period2006.1.1~2008.12.31 As of 2009.1.15 years or 80,000kmPetrol small, medium 10 years or 160,000km10 years or 192,000km(extra) large2 years or 160,000kmmini 5 years or 80,000km 6 years or 100,000kmGas small, medium 10 years or 160,000km 10 years or 192,000km(extra) large2 years or 160,000kmmini, small5 years or 80,000km 10 years or 160,000kmmediumDiesellarge6 years or 200,000km(extra) large2 years or 160,000km7 years or 500,000km2. Fuel-EfficiencyThe information on fuel-efficiency should be labeled on the passenger cars, smallbuses and trucks, in order to enable consumers to choose energy-saving vehicles.Fuel-efficiency is stated the distance per liter(km/l) and passenger cars areaccompanied by its grade.Grade by Fuel-Efficiency(km/l)Grade 1 2 3 4 5Fuel-Efficiency over 15.0 14.9~12.8 12.7~10.6 10.5~8.4 below 8.33. RecyclingAuto makers are regulated to avoid to use lead, mercury, chromium and cadmium onmanufacturing vehicles and improve recycling capacity up to 95% over weight as of2010. Moreover, there are regulations that auto makers should supply vehiclebreakers with dismantling information, retrieve scrapped cars on free of charge andenhance recycling rate to 95% since 2015.22Korean Automobile Industry 2011

STATISTICS1. Automobile Production 241-1. Production Overview1-2. Production by Maker1-3. Production by Type & Size1-4. Production and Sales by Maker, Type and Model in 20102. Automobile Sales 352-1. Domestic Sales2-1-1. Domestic Sales Overview2-1-2. Domestic Sales by Maker2-1-3. Domestic Sales by Type & Size2-2. Exports2-2-1. Exports Overview2-2-2. Exports by Maker2-2-3. Exports by Type & Size2-2-4. Exports by Region and Country3. Automobile Imports 474. Automobile Registration 475. Automobile Sales in US and Europe 485-1. Light Vehicle Sales by Origin in US5-2. Passenger Car Sales by Maker in Europe6. Licensed Drivers 497. Roads 50

Production1. Automobile Production1-1. Production Overview(Units)Year Passenger Cars Buses Trucks SPV TotalMPV%Chg. %Chg. %Chg. %Chg. %Chg. %Chg.2010 3,866,206 22.4 1,073,996 37.1 137,521 26.3 254,689 8.9 13,325 13.9 4,271,741 21.62009 3,158,417 -8.5 783,548 -22.8 108,857 -12.1 233,955 -2.7 11,697 -2.0 3,512,926 -8.22008 3,450,478 -7.3 1,014,862 -16.4 123,855 13.2 240,412 0.0 11,937 -8.7 3,826,682 -6.42007 3,723,482 6.7 1,214,042 2.0 109,370 -1.3 240,381 5.6 13,075 4.3 4,086,308 6.42006 3,489,136 3.9 1,190,662 2.4 110,760 -3.7 227,674 5.1 12,532 18.4 3,840,102 3.82005 3,357,094 7.5 1,162,481 8.8 115,015 -9.1 216,656 3.4 10,585 -1.8 3,699,350 6.62004 3,122,600 12.8 1,068,932 13.4 126,497 -24.5 209,591 -8.6 10,776 -19.3 3,469,464 9.22003 2,767,716 4.4 942,538 -1.8 167,506 -22.5 229,289 -14.2 13,359 1.5 3,177,870 1.02002 2,651,273 7.3 959,547 26.9 216,059 -4.0 267,089 11.8 13,163 19.9 3,147,584 6.82001 2,471,444 -5.0 755,969 4.8 225,027 -8.6 238,876 -6.8 10,982 6.3 2,946,329 -5.4Note : MPV means multi purpose vehicles, SPV means special purpose vehicles| 24 | Korean Automobile Industry 2011

Production1-2. Production by Maker(Units)Maker TypeYear2006 2007 2008 2009 2010Grand Total 3,840,102 4,086,308 3,826,682 3,512,926 4,271,741Sub-Total 1,618,268 1,706,727 1,673,580 1,606,879 1,743,375Passenger Cars 1,386,904 1,446,652 1,416,241 1,354,097 1,463,007Hyundai Buses 85,278 99,410 104,774 97,422 122,293Trucks 145,120 159,237 151,759 153,258 156,027SPV 966 1,428 806 2,102 2,048Sub-Total 1,150,289 1,118,714 1,055,152 1,137,176 1,416,681Passenger Cars 1,066,461 1,035,683 970,649 1,058,399 1,320,354Kia Buses 2,186 1,991 1,344 843 1,585Trucks 71,625 70,930 74,532 69,145 84,441SPV 10,017 10,110 8,627 8,789 10,301Sub-Total 779,630 942,805 813,023 532,191 744,096GMKoreaPassenger Cars 757,227 940,548 794,196 521,387 727,509Buses 17,396 1,681 12,871 6,577 10,429Trucks 5,007 576 5,956 4,227 6,158RenaultSamsungSsangyongDaewooBusTataDaewooSub-Total 161,421 177,742 187,947 189,831 275,269Passenger Cars 161,421 177,742 187,947 189,831 275,269Sub-Total 117,123 122,857 81,445 34,703 80,067Passenger Cars 117,123 122,857 81,445 34,703 80,067Sub-Total 5,900 6,288 4,866 4,015 3,214Buses 5,900 6,288 4,866 4,015 3,214Sub-Total 7,471 11,175 10,669 8,131 9,039Trucks 5,922 9,638 8,165 7,325 8,063SPV 1,549 1,537 2,504 806 976| 25 |

Production1-3. Production by Type & Size(Units)Type Size MakerYear 2006 2007 2008 2009 2010Grand Total 3,840,102 4,086,308 3,826,682 3,512,926 4,271,741PassengerCarsUnder1,000cc(800)Sub-Total 3,489,136 3,723,482 3,450,478 3,158,417 3,866,206143,724 181,836 327,627 356,392 409,046Kia - - 156,400 207,415 209,927GM Korea 143,724 181,836 171,227 148,977 199,1191,001cc~(801cc)1,600cc(1,500cc)1,601cc~(1,501cc)2,000cc598,722 570,207 454,420 1,388,066 1,548,573Hyundai 320,151 284,171 301,204 706,016 711,647Kia 163,713 162,108 9,908 378,590 448,645GM Korea 110,266 123,323 143,308 223,563 265,624Renault Samsung 4,592 605 - 79,897 122,6571,281,496 1,467,443 1,383,472 397,450 582,997Hyundai 363,878 477,030 517,462 152,323 217,830Kia 354,580 380,883 383,402 88,802 117,263GM Korea 424,066 451,820 364,033 93,775 158,738Renault Samsung 138,972 157,710 118,575 62,550 89,166274,532 289,954 270,097 232,961 251,594Hyundai 207,653 219,470 213,074 186,856 157,993Over2,001ccKia 31,881 34,255 21,721 21,150 59,531GM Korea 5,023 12,113 7,624 1,115 11,088Renault Samsung 17,857 14,545 14,280 18,651 14,697Ssangyong 12,118 9,571 13,398 5,189 8,2851,190,662 1,214,042 1,014,862 783,548 1,073,996Hyundai 495,222 465,981 384,501 308,902 375,537MPVKia 516,287 458,437 399,218 362,442 484,988GM Korea 74,148 171,456 108,004 53,957 92,940Renault Samsung - 4,882 55,092 28,733 48,749Ssangyong 105,005 113,286 68,047 29,514 71,782Note : The category of mini cars and small-sized cars were extended up to 1,000cc(from 2008) and 1,600cc(from 2009) respectively.| 26 | Korean Automobile Industry 2011

Production(Units)Type Size MakerYear 2006 2007 2008 2009 2010Buses Sub-Total 110,760 109,370 123,855 108,857 137,52192,446 85,781 103,303 90,774 118,117Under 15Persons16~35PersonsHyundai 75,050 84,100 90,432 84,197 107,688GM Korea 17,396 1,681 12,871 6,577 10,4297,120 9,189 8,808 8,591 9,142Hyundai 6,086 8,464 7,884 7,853 8,587Daewoo Bus 1,034 725 924 738 55511,194 14,400 11,744 9,492 10,262Over 36PersonsHyundai 4,142 6,846 6,458 5,372 6,018Kia 2,186 1,991 1,344 843 1,585Daewoo Bus 4,866 5,563 3,942 3,277 2,659Trucks Sub-Total 227,674 240,381 240,412 233,955 254,689216,487 227,505 227,739 222,387 241,175Hyundai 139,289 151,773 144,459 146,854 147,954Under5.0 TonsKia 71,625 70,930 74,532 69,145 84,441GM Korea 5,007 576 5,956 4,227 6,158Tata Daewoo 566 4,226 2,792 2,161 2,6227.0~12.0Tons4,390 1,612 1,444 1,973 2,235Hyundai 1,527 1,024 745 870 1,110Tata Daewoo 2,863 588 699 1,103 1,1256,797 11,264 11,229 9,595 11,279Over12.0 TonsHyundai 4,304 6,440 6,555 5,534 6,963Tata Daewoo 2,493 4,824 4,674 4,061 4,316SPV Sub-Total 12,532 13,075 11,937 11,697 13,325| 27 |

Production1-4. Production and Sales by Maker, Type and Model in 2010Maker Type Model ProductionSalesDomestic Sales Exports TotalGrand Total 4,271,741 1,465,426 2,772,107 4,237,533Hyundai Total 1,743,375 659,565 1,072,727 1,732,292Passenger Sub-Total 1,087,470 388,398 687,207 1,075,605Cars CLICK 5DR 1.4 3,124 3,643 - 3,643CLICK 5DR 1.5 DSL 117 116 - 116CLICK 5DR 1.6 138 120 - 120CLICK EXPORT 87,587 - 87,359 87,359VERNA(MC) 1.4 4,305 4,645 - 4,645VERNA(MC) 1.5 DSL 966 992 - 992VERNA(MC) 1.6 265 300 - 300VERNA(MC) EXPORT 156,302 - 156,559 156,559ACCENT 1.4 2,793 2,183 - 2,183ACCENT 1.6 999 804 - 804ACCENT 1.6 DSL 1 17 - 17ACCENT EXPORT 5,640 - 5,390 5,390AVANTE HD 1.6 58,183 58,706 - 58,706AVANTE 1.6 LPi HEV 3,771 4,133 - 4,133AVANTE HD EXPORT 184,878 - 184,034 184,034AVANTE MD 1.6 79,298 76,977 - 76,977AVANTE MD EXPORT 157 - - -i30 5DR 1.6 7,416 7,035 - 7,035i30 5DR 1.6 DSL 596 586 - 586i30 5DR 2.0 77 78 - 78i30 EXPORT 73,129 - 72,943 72,943i30 cw 5DR 1.6 1,231 1,241 - 1,241i30 cw 5DR 1.6 DSL 179 206 - 206i30 cw 5DR 2.0 20 20 - 20i30 cw EXPORT 40,572 - 40,722 40,722SONATA 2.0 LPG 16,612 16,288 - 16,288YF SONATA 2.0 82,739 78,849 - 78,849YF SONATA 2.0 LPi 53,868 53,366 - 53,366YF SONATA 2.4 3,569 3,520 - 3,520YF SONATA HEV 120 - 85 85YF SONATA/ SONATA EXPORT 74,098 - 72,618 72,618GENESIS 3.3 22,024 20,744 - 20,744GENESIS 3.8 3,160 3,148 - 3,148GENESIS EXPORT 22,440 - 22,224 22,224GENESIS COUPE 2.0 2,177 2,232 - 2,232GENESIS COUPE 3.8 495 557 - 557GENESIS COUPE EXPORT 20,080 - 20,014 20,014GRANDEUR TG 2.4 3,317 3,088 - 3,088GRANDEUR TG 2.7 21,768 21,958 - 21,958GRANDEUR TG 2.7 LPG 8,273 7,014 - 7,014GRANDEUR TG 3.3 813 833 - 833GRANDEUR TG EXPORT 22,923 - 22,685 22,685EQUUS 3.8 12,124 12,416 - 12,416EQUUS 3.8 LIMOUSINE 118 100 - 100EQUUS 4.6 1,924 1,990 - 1,990(Units)| 28 | Korean Automobile Industry 2011

ProductionMaker Type Model ProductionSalesDomestic Sales Exports TotalEQUUS 5.0 101 122 - 122EQUUS 5.0 LIMOUSINE 378 371 - 371EQUUS EXPORT 2,605 - 2,574 2,574Passenger Sub-Total 375,537 93,863 280,060 373,923Cars TUCSON ix 2.0 DSL 45,039 44,550 - 44,550(SUV) TUCSON ix 2.0 GSL 1,990 1,904 - 1,904TUCSON ix/ TUCSON EXPORT 151,713 - 150,505 150,505SANTAFE 2.0 DSL 31,989 32,261 - 32,261SANTAFE 2.2 DSL 5,317 5,373 - 5,373SANTAFE 2.4 GSL 47 47 - 47SANTAFE 2.7 LPi 73 78 - 78SANTAFE EXPORT 100,650 - 100,939 100,939VERACRUZ 3.0 DSL 9,782 9,397 - 9,397VERACRUZ 3.8 GSL 254 253 - 253VERACRUZ EXPORT 28,683 - 28,616 28,616Buses Sub-Total 122,293 58,500 64,838 123,338GRAND STAREX 50,475 50,175 - 50,175GRAND STAREX EXPORT 57,213 - 58,092 58,092SUPER A/C 2,196 2,147 - 2,147UNIVERSE 2,080 2,121 922 3,043AERO EXPORT 1,665 - 901 901AERO SPACE LS 77 87 - 87AERO-TOWN 473 452 5 457AERO-TOWN EXPORT 122 - 142 142COUNTY 2,896 2,935 - 2,935COUNTY EXPORT 4,507 - 4,776 4,776GREEN CITY 588 583 - 583GREEN CITY EXPORT 1 - - -Trucks Sub-Total 156,027 116,798 38,054 154,852MIGHTY 5,022 5,267 - 5,267MIGHTY EXPORT 10,037 - 16,504 16,504PORTER DSL 94,080 94,059 - 94,059PORTER EXPORT 17,600 - 16,229 16,2293.5T 3,950 4,146 - 4,1463.5T EXPORT 8,911 - 3,236 3,2364.5T 3,205 3,794 - 3,7945T 3,885 4,633 - 4,6335T EXPORT 1,264 - 1,343 1,3437T 281 334 - 3348.5T CARGO 130 133 - 1338T CARGO 155 163 - 1638T DUMP 12 12 - 129.5T CARGO 311 311 - 31111.5T CARGO 221 221 - 22114T CARGO 822 823 - 82315T DUMP 325 314 - 31416T CARGO 684 680 - 68019T CARGO 305 314 - 314(Units)| 29 |

ProductionMaker Type Model Production20T CARGO 64 62 - 6222T CARGO 36 35 - 3525T CARGO 1,531 1,497 - 1,497HEAVY TRUCK EXPORT 3,196 - 742 742SPV Sub-Total 2,048 2,006 2,568 4,574Kia Total 1,416,681 484,512 920,057 1,404,569Passenger Sub-Total 835,366 289,646 534,638 824,284Cars MORNING 1.0 LPG 6,942 7,015 - 7,015MORNING 1.0 VAN 4,537 4,391 - 4,391MORNING 1.0 5DR 92,998 90,164 - 90,164MORNING EXPORT 105,450 - 105,100 105,100PRIDE 1.4 4DR 2,873 2,883 - 2,883PRIDE 1.4 5DR 481 425 - 425PRIDE 1.5 4DR DSL 2,522 2,394 - 2,394PRIDE 1.5 5DR DSL 1,356 1,387 - 1,387PRIDE 1.6 4DR 6,447 6,401 - 6,401PRIDE 1.6 5DR 857 849 - 849PRIDE EXPORT 171,646 - 167,020 167,020FORTE 1.6 LPi HEV 2,171 2,053 - 2,053FORTE 1.6 2DR 6,691 6,204 - 6,204FORTE 1.6 4DR 32,022 31,562 - 31,562FORTE 1.6 4DR DSL 212 214 - 214FORTE 1.6 4DR LPG 255 92 - 92FORTE 1.6 5DR 1,924 1,617 - 1,617FORTE 2.0 2DR 1,705 1,655 - 1,655FORTE 2.0 4DR 85 89 - 89FORTE EXOPRT 219,188 - 217,625 217,625LOTZE 2.0 4,776 5,496 - 5,496LOTZE 2.0 LPG 11,492 12,113 - 12,113LOTZE 2.4 40 6 - 6LOTZE EXPORT 16,188 - 15,940 15,940K5 2.0 36,102 35,597 - 35,597K5 2.0 LPG 22,602 22,307 - 22,307K5 2.4 4,055 3,972 - 3,972K5 EXPORT 24,313 - 23,778 23,778K7 2.4 3,650 3,838 - 3,838K7 2.7 25,435 25,640 - 25,640K7 2.7 LPG 10,064 10,013 - 10,013K7 3.5 3,086 3,053 - 3,053K7 EXPORT 5,289 - 5,175 5,175OPIRUS 2.7 3,783 3,815 - 3,815OPIRUS 2.7 LPG 1,261 1,329 - 1,329OPIRUS 3.3 2,748 2,957 - 2,957OPIRUS 3.8 120 115 - 115Passenger Sub-Total 386,054 115,101 269,197 384,298Cars SOUL 1.6 22,069 20,796 - 20,796(SUV) SOUL 1.6 DSL 1,216 1,208 - 1,208SOUL 2.0 196 196 - 196SalesDomestic Sales Exports Total(Units)| 30 | Korean Automobile Industry 2011

ProductionMaker Type Model ProductionSalesDomestic Sales Exports TotalSOUL EXPORT 134,664 - 133,333 133,333SPORTAGE 2.0 DSL 1,206 3,980 - 3,980SPORTAGE 2.0 GSL 569 864 - 864SPORTAGE EXPORT 8,462 - 8,725 8,725SPORTAGE R 2.0 DSL 36,716 36,425 - 36,425SPORTAGE R 2.0 GSL 3,686 3,501 - 3,501SPORTAGE R EXPORT 60,718 - 59,459 59,459SORENTO R 2.0 DSL 32,598 32,713 - 32,713SORENTO R 2.2 DSL 9,263 9,222 - 9,222SORENTO R 2.4 156 162 - 162SORENTO R 2.7 LPG 387 383 - 383SORENTO R EXPORT 58,141 - 57,475 57,475MOHAVE 3.0 DSL 5,478 5,504 - 5,504MOHAVE 3.8 31 32 - 32MOHAVE 4.6 113 115 - 115MOHAVE EXPORT 10,385 - 10,205 10,205Passenger Sub-Total 98,934 30,134 68,460 98,594Cars NEW CARENS 2.0 GSL 174 167 - 167(CDV) NEW CARENS 2.0 LPG 5,307 4,823 - 4,823NEW CARENS EXPORT 39,886 - 38,103 38,103EP 127 - 127 127New CARNIVAL 2.2 DSL 5,716 5,792 - 5,792NEW CARNIVAL 2.7 LPG 120 124 - 124NEW CARNIVAL 2.9 DSL 2 - - -GRAND CARNIVAL 2.2 DSL 16,906 18,755 - 18,755GRAND CARNIVAL 2.7 LPG 379 473 - 473GRAND CARNIVAL 2.9 DSL 80 - - -GRAND CARNIVAL EXPORT 30,237 - 30,230 30,230Buses Sub-Total 1,585 1,539 15 1,554GREENFIELD 225 166 - 166BLUESKY 174 226 - 226SUNSHINE 303 369 - 369SILKROAD 269 147 15 162PARKWAY 614 631 - 631Trucks Sub-Total 84,441 38,180 47,296 85,476BONGO 1T 72,332 29,889 47,296 77,185BONGO 1T LPG 563 614 - 614BONGO 1.2/1.4T 11,546 7,677 - 7,677SPV Sub-Total 10,301 9,912 451 10,363GM Korea Total 744,096 125,730 610,898 736,628Passenger Sub-Total 634,569 105,818 529,642 635,460Cars NEW MATIZ 35,893 2,409 33,210 35,619NEW MATIZ VAN 380 416 - 416MATIZ CREATIVE 161,041 54,376 109,051 163,427MATIZ CREATIVE LPG 1,470 1,551 - 1,551MATIZ CREATIVE VAN 335 257 - 257GENRTA 4DR 1.4 DOHC 32,032 - - -GENTRA 4DR 1.2 DOHC 15,532 444 - 444(Units)| 31 |

ProductionMaker Type Model ProductionSalesDomestic Sales Exports TotalGENTRA 4DR 1.2 SOCH 1,235 - - -GENTRA 4DR 1.5 SOHC 21,796 - - -GENTRA 4DR 1.6 DOHC 38,112 89 - 89GENTRA/GENTRA X EXPORT - - 167,394 167,394GENTRA X 3DR 1.2 4,162 - - -GENTRA X 3DR 1.4 1,459 - - -GENTRA X 3DR 1.5 90 - - -GENTRA X 3DR 1.6 4,994 2 - 2GENTRA X 5DR 1.2 18,772 1,107 - 1,107GENTRA X 5DR 1.4 10,163 - - -GENTRA X 5DR 1.5 1,415 - - -GENTRA X 5DR 1.6 21,937 86 - 86AVEO 4DR 1.4 5 - - -AVEO 5DR 1.2 1 - - -AVEO 5DR 1.4 6 - - -AVEO 5DR 1.6 55 - - -AVEO EXPORT - - 22 22LACETTI WAGON DSL 274 - - -LACETTI 4DR 1.6 DOHC 31,819 - - -LACETTI 4DR 2.0 DSL 406 - - -LACETTI 5DR 1.6 DOHC 7,448 - - -LACETTI 5DR 2.0 DSL 454 - - -LACETTI EXPORT 26,798 - 65,589 65,589LACETTI PREMIERE 2.0 DSL 28,922 2,374 - 2,374LACETTI PREMIERE 1.6 54,591 9,161 - 9,161LACETTI PREMIERE 1.8 86,587 21,702 - 21,702LACETTI PREMIRE EXPORT - - 140,104 140,104VERITAS 3.6 DOHC - 705 - 705TOSCA 2.0 DOHC 12,848 3,401 - 3,401TOSCA 2.0 DSL 2,449 49 - 49TOSCA 2.0 LPG - 1,698 - 1,698TOSCA 2.5 DOHC 3,305 105 - 105TOSCA EXPORT - - 14,272 14,272ALPHEON 2.4 2,769 2,283 - 2,283ALPHEON 3.0 5,014 3,603 - 3,603Passenger Sub-Total 85,881 6,648 78,202 84,850Cars WINSTORM 2.0 44,461 5,227 - 5,227(SUV) WINSTORM 2.4 DOHC 9,797 - - -WINSTORM 3.0 GSL 49 - - -WINSTORM 3.2 DOHC 14,796 - - -WINSTORM (MAXX) EXPORT - - 78,202 78,202WINSTORM MAXX 2.0 9,496 1,421 - 1,421WINSTORM MAXX 2.4 7,233 - - -WINSTORM MAXX 3.0 9 - - -WINSTORM MAXX 3.2 40 - - -Passenger Sub-Total 7,059 - 4 4Cars ORLANDO 1.8 DOHC 2,706 - - -(CDV) ORLANDO 2.0 DSL 4,353 - - -ORLANDO EXPORT - - 4 4(Units)| 32 | Korean Automobile Industry 2011

ProductionMaker Type Model ProductionBuses Sub-Total 10,429 7,858 2,315 10,173DAMAS COACH GSL 1,094 - - -DAMAS COACH LPG 3,800 3,647 - 3,647DAMAS VAN GSL 1,267 - - -DAMAS VAN LPG 4,268 4,211 - 4,211DAMAS EXPORT - - 2,315 2,315Trucks Sub-Total 6,158 5,406 735 6,141LABO GSL 722 - - -LABO LPG 5,436 5,406 - 5,406LABO EXPORT - - 735 735Renault Total 275,269 155,697 115,783 271,480Samsung Passenger Sub-Total 226,520 150,216 73,091 223,307Cars SM3 1.6 65,902 6,503 58,495 64,998NEW SM3 1.6 57,248 52,995 3,206 56,201NEW SM3 2.0 1,121 - 1,196 1,196NEW SM5 2.0 7,449 4,489 3,247 7,736NEW SM5 2.0 LPG 5,885 6,015 - 6,015NEW SM5 2.0 LPL(L43) 14,517 13,388 - 13,388NEW SM5 2.0(L43) 59,701 53,490 5,792 59,282NEW SM5 2.3 918 - 918 918SM7 2.3 13,169 12,801 180 12,981SM7 3.5 610 535 57 592Passenger Sub-Total 48,749 5,481 42,692 48,173Cars QM5 2WD DSL 2,914 2,731 - 2,731(SUV) QM5 2WD GSL 1,624 1,568 - 1,568QM5 4WD DSL 1,330 1,182 - 1,182QM5 EXPORT 42,881 - 42,692 42,692Ssangyong Total 80,067 32,459 47,756 80,215Passenger Sub-Total 8,285 8,253 53 8,306Cars CHAIRMAN H 2.8 2,215 2,129 - 2,129CHAIRMAN H 3.2 1,336 1,460 - 1,460CHAIRMAN W LIM 3.6 84 59 - 59CHAIRMAN W LIM 5.0 36 43 - 43CHAIRMAN W 3.2 2,480 2,444 - 2,444CHAIRMAN W 3.6 2,005 1,988 - 1,988CHAIRMAN W 5.0 129 130 - 130CHAIRMAN W EXPORT - - 53 53Passenger Sub-Total 67,324 22,813 44,638 67,451Cars ACTYON SPORTS 2.0 DSL 25,101 14,054 - 14,054(SUV) ACTYON SPORTS 2.3 GSL 195 - - -ACTYON 2.0 DSL 4,198 1,410 - 1,410ACTYON 2.3 GSL 3,102 - - -ACTYON EXPORT - - 17,247 17,247KORANDO C 2.0 DSL 4,748 - - -KORANDO C EXPORT - - 4,582 4,582KYRON 2.0 DSL 15,262 1,379 - 1,379KYRON 2.3 GSL 3,356 - - -KYRON 2.7 DSL 332 135 - 135KYRON 3.2 GSL 67 - - -SalesDomestic Sales Exports Total(Units)| 33 |

ProductionMaker Type Model ProductionKYRON EXPORT - - 17,795 17,795REXTON 2.0 DSL 3,014 2,585 - 2,585REXTON 2.7 DSL 7,025 3,250 - 3,250REXTON 3.2 GSL 924 - - -REXTON EXPORT - - 5,014 5,014Passenger Sub-Total 4,458 1,393 3,065 4,458Cars RODIUS 2.7 DSL 4,402 1,393 - 1,393(CDV) RODIUS 3.2 GSL 56 - - -RODIUS EXPORT - - 3,065 3,065Daewoo Total 3,214 2,364 839 3,203Bus Buses BC211M 12 10 - 10BF106 58 - - -BH090 80 79 - 79BH116 18 - - -BS090 475 469 - 469BS106 742 733 - 733BS110CN 228 225 - 225BX212 275 274 - 274FX 120 96 102 - 102FX 212 118 120 - 120FX115 26 26 - 26FX116 336 326 - 326ROYAL CITY EXPORT 315 - 315 315ROYAL EXPORT 435 - 524 524Tata Total 9,039 5,099 4,047 9,146Daewoo Trucks Sub-Total 8,063 4,907 3,152 8,0594.5 CARGO 1,656 1,581 1 1,5825T CARGO 966 977 11 9888.5T CARGO 869 145 1,067 1,2128T CARGO 5 3 2 58T DUMP 3 - 1 19.5 CARGO 109 134 - 13411.5T CARGO 137 108 27 13511T CARGO 2 2 4 614T CARGO 144 114 1 11515.5 CARGO 168 91 2 9315T DUMP 1,207 42 1,182 1,22416T CARGO 829 185 828 1,01317T CARGO 62 42 - 4218T CARGO 108 71 - 7119.5T CARGO 307 114 - 11419T CARGO 170 141 3 14421T CARGO 5 6 2 822.5T CARGO 29 32 - 3224T CARGO 54 15 - 1524T DUMP 20 16 6 2225.5T DUMP 178 181 6 18725T CARGO 1,035 907 9 916SPV Sub-Total 976 192 895 1,087SalesDomestic Sales Exports Total(Units)| 34 | Korean Automobile Industry 2011

Sales2. Automobile Sales(Units)Type ClassificationYear2006 2007 2008 2009 20103,812,474 4,066,473 3,838,448 3,542,862 4,237,533Total Domestic Sales 1,164,254 1,219,335 1,154,483 1,394,000 1,465,426Exports 2,648,220 2,847,138 2,683,965 2,148,862 2,772,1073,465,861 3,704,964 3,467,765 3,181,973 3,828,713PassengerCarsDomestic Sales 935,681 986,416 958,854 1,174,743 1,217,764Exports 2,530,180 2,718,548 2,508,911 2,007,230 2,610,949105,575 109,157 125,063 112,872 138,268Buses Domestic Sales 74,077 70,192 62,409 65,501 70,261Exports 31,498 38,965 62,654 47,371 68,007229,191 239,317 232,250 234,205 254,528Trucks Domestic Sales 143,392 151,010 123,895 142,570 165,291Exports 85,799 88,307 108,355 91,635 89,23711,847 13,035 13,370 13,812 16,024SPV Domestic Sales 11,104 11,717 9,325 11,186 12,110Exports 743 1,318 4,045 2,626 3,914| 35 |

DomesticSales2-1. Domestic Sales2-1-1. Domestic Sales Overview(Units)YearPassenger CarsBuses Trucks SPV TotalMPV%Chg. %Chg. %Chg. %Chg. %Chg. %Chg.2010 1,217,764 3.7 275,433 -0.8 70,261 7.3 165,291 15.9 12,110 8.3 1,465,426 5.12009 1,174,743 22.5 277,668 27.7 65,501 5.0 142,570 15.1 11,186 20.0 1,394,000 20.72008 958,854 -2.8 217,513 -23.1 62,409 -11.1 123,895 -18.0 9,325 -20.4 1,154,483 -5.32007 986,416 5.4 282,890 5.8 70,192 -5.2 151,010 5.3 11,717 5.5 1,219,335 4.72006 935,681 2.4 267,400 -8.3 74,077 -3.0 143,392 0.5 11,104 11.4 1,164,254 1.92005 913,550 6.5 291,509 -15.1 76,346 -16.1 142,699 6.0 9,967 -0.6 1,142,562 4.52004 857,977 -14.4 343,492 -18.1 91,024 -19.8 134,628 -29.0 10,023 -25.1 1,093,652 -17.02003 1,001,874 -18.2 419,329 -19.5 113,517 -26.5 189,546 -17.4 13,375 1.6 1,318,312 -18.72002 1,225,210 15.0 520,673 27.7 154,429 -6.1 229,463 8.7 13,166 23.7 1,622,268 11.82001 1,065,161 0.7 407,678 -6.0 164,498 3.6 211,151 3.4 10,640 8.3 1,451,450 1.5| 36 | Korean Automobile Industry 2011

DomesticSales2-1-2. Domestic Sales by MakerMaker 2006 2007 2008 2009 2010YearTypeGrand Total 1,164,254 1,219,335 1,154,483 1,394,000 1,465,426Sub-Total 581,092 625,275 570,962 702,678 659,565Passenger Cars 427,488 458,945 439,318 547,967 482,261Hyundai Buses 55,493 60,680 48,108 55,471 58,500Trucks 97,134 104,249 82,685 97,088 116,798SPV 977 1,401 851 2,152 2,006Sub-Total 270,597 272,330 316,432 412,752 484,512Passenger Cars 220,949 222,727 275,760 366,533 434,881Kia Buses 1,984 1,950 1,034 1,103 1,539Trucks 37,874 37,946 31,439 36,428 38,180SPV 9,790 9,707 8,199 8,688 9,912Sub-Total 128,332 130,542 116,520 114,845 125,730(Units)GMKoreaPassenger Cars 112,088 126,924 102,630 104,424 112,466Buses 12,099 3,112 9,477 6,377 7,858Trucks 4,145 506 4,413 4,044 5,406Renault Sub-Total 119,088 117,204 101,981 133,630 155,697Samsung Passenger Cars 119,088 117,204 101,981 133,630 155,697SsangyongSub-Total 56,068 60,616 39,165 22,189 32,459Passenger Cars 56,068 60,616 39,165 22,189 32,459Daewoo Sub-Total 4,501 4,450 3,790 2,550 2,364Bus Buses 4,501 4,450 3,790 2,550 2,364Sub-Total 4,576 8,918 5,633 5,356 5,099TataDaewooTrucks 4,239 8,309 5,358 5,010 4,907SPV 337 609 275 346 192| 37 |

DomesticSales2-1-3. Domestic Sales by Type & SizeType SizeYearMaker2006 2007 2008 2009 2010Grand Total 1,164,254 1,219,335 1,154,483 1,394,000 1,465,426Passenger Sub-Total 935,681 986,416 958,854 1,174,743 1,217,764CarsUnder39,230 53,793 134,303 135,753 160,5791,000cc Kia - - 84,177 102,082 101,570(800cc)GM Korea 39,230 53,793 50,126 33,671 59,00958,219 54,883 32,617 307,730 287,7681,001cc~(801cc)Hyundai 16,575 12,007 15,036 156,232 161,704Kia 34,893 41,344 10,148 68,336 56,0811,600cc(1,500cc) GM Korea 3,895 1,532 7,433 37,256 10,889Renault Samsung 2,856 - - 45,906 59,0941,601cc~(1,501cc)2,000cc421,052 446,355 429,669 284,285 335,100Hyundai 209,658 243,987 244,256 152,006 150,833Kia 64,494 61,498 79,407 50,511 77,257GM Korea 48,041 40,321 31,120 20,758 29,224Renault Samsung 98,859 100,549 74,886 61,010 77,786149,780 148,495 144,752 169,307 158,884Hyundai 100,559 101,454 100,763 125,031 75,861(Units)Over2,001ccKia 19,012 23,010 15,464 18,801 54,738GM Korea 1,225 205 394 1,780 6,696Renault Samsung 17,373 14,137 15,263 18,234 13,336Ssangyong 11,611 9,689 12,868 5,461 8,253267,400 282,890 217,513 277,668 275,433Hyundai 100,696 101,497 79,263 114,698 93,863MPVKia 102,550 96,875 86,564 126,803 145,235GM Korea 19,697 31,073 13,557 10,959 6,648Renault Samsung - 2,518 11,832 8,480 5,481Ssangyong 44,457 50,927 26,297 16,728 24,206Note : The category of mini cars and small-sized cars were extended up to 1,000cc(from 2008) and 1,600cc(from 2009) respectively.| 38 | Korean Automobile Industry 2011

DomesticSalesType SizeYearMaker2006 2007 2008 2009 2010Buses Sub-Total 74,077 70,192 62,409 65,501 70,26160,874 54,504 50,169 53,636 58,033(Units)Under 15Persons16~35PersonsHyundai 48,775 51,392 40,692 47,259 50,175GM Korea 12,099 3,112 9,477 6,377 7,8584,611 5,384 4,437 4,708 4,518Hyundai 3,586 4,650 3,559 4,013 3,970Daewoo Bus 1,025 734 878 695 5488,592 10,304 7,803 7,157 7,710Over 36PersonsHyundai 3,132 4,638 3,857 4,199 4,355Kia 1,984 1,950 1,034 1,103 1,539Daewoo Bus 3,476 3,716 2,912 1,855 1,816Trucks Sub-Total 143,392 151,010 123,895 142,570 165,291134,619 141,515 116,964 136,145 158,043Under5.0 TonsHyundai 123,529 98,686 78,479 93,401 111,899Kia 6,436 37,946 31,439 36,428 38,180GM Korea 4,145 506 4,413 4,044 5,406Tata Daewoo 509 4,377 2,633 2,272 2,5587.0~12.0TonsOver 12.0Tons4,130 1,470 1,142 1,303 1,566Hyundai 1,689 1,042 540 836 1,174Tata Daewoo 2,441 428 602 467 3924,643 8,025 5,789 5,122 5,682Hyundai 3,354 4,521 3,666 2,851 3,725Tata Daewoo 1,289 3,504 2,123 2,271 1,957SPV Sub-Total 11,104 11,717 9,325 11,186 12,110| 39 |

Exports2-2. Exports2-2-1. Exports Overview(Units)Year Passenger Cars Buses Trucks SPV TotalMPV%Chg. %Chg. %Chg. %Chg. %Chg. %Chg.2010 2,610,949 30.1 786,318 52.1 68,007 43.6 89,237 -2.6 3,914 49.0 2,772,107 29.02009 2,007,230 -20.0 517,066 -36.6 47,371 -24.4 91,635 -15.4 2,626 -35.1 2,148,862 -19.92008 2,508,911 -7.7 815,586 -12.9 62,654 60.8 108,355 22.7 4,045 206.9 2,683,965 -5.72007 2,718,548 7.4 936,534 3.6 38,965 23.7 88,307 2.9 1,318 77.4 2,847,138 7.52006 2,530,180 3.0 904,306 2.8 31,498 -26.9 85,799 0.9 743 -48.1 2,648,220 2.42005 2,456,525 7.9 880,074 22.9 43,078 7.2 85,054 37.0 1,431 102.1 2,586,088 8.72004 2,276,576 32.3 716,047 39.0 40,197 -13.7 62,082 30.1 708 27.6 2,379,563 31.12003 1,720,124 21.7 514,957 18.7 46,554 -22.2 47,705 34.6 555 -5.0 1,814,938 20.22002 1,413,723 1.2 433,941 26.3 59,802 -11.9 35,437 0.0 584 -33.7 1,509,546 0.62001 1,397,015 -9.5 343,480 17.2 67,871 -18.8 35,446 -25.9 881 64.4 1,501,213 -10.5| 40 | Korean Automobile Industry 2011

Exports2-2-2. Exports by MakerMaker 2006 2007 2008 2009 2010YearTypeGrand Total 2,648,220 2,847,138 2,683,965 2,148,862 2,772,107Sub-Total 1,032,052 1,076,084 1,099,219 911,088 1,072,727Passenger Cars 955,178 985,743 974,834 808,479 967,267Hyundai Buses 27,718 35,605 59,349 44,611 64,838Trucks 49,156 54,429 63,237 56,115 38,054SPV - 307 1,799 1,883 2,568Sub-Total 871,233 840,822 738,530 736,024 920,057Passenger Cars 835,709 808,339 696,386 702,183 872,295Kia Buses 202 32 - 2 15Trucks 35,180 32,173 41,653 33,459 47,296SPV 142 278 491 380 451Sub-Total 640,539 807,729 702,916 429,259 610,898(Units)GM KoreaPassenger Cars 637,938 805,422 699,408 427,646 607,848Buses 2,215 1,715 2,199 1,096 2,315Trucks 386 592 1,309 517 735RenaultSamsungSsangyongDaewoo BusSub-Total 41,320 54,971 95,043 56,175 115,783Passenger Cars 41,320 54,971 95,043 56,175 115,783Sub-Total 60,035 64,073 43,240 12,747 47,756Passenger Cars 60,035 64,073 43,240 12,747 47,756Sub-Total 1,363 1,613 1,106 1,662 839Buses 1,363 1,613 1,106 1,662 839Sub-Total 1,678 1,846 3,911 1,907 4,047Tata Daewoo Trucks 1,077 1,113 2,156 1,544 3,152SPV 601 733 1,755 363 895| 41 |

Exports2-2-3. Exports by Type & SizeType Size YearMaker2006 2007 2008 2009 2010Grand Total 2,648,220 2,847,138 2,683,965 2,148,862 2,772,107Passenger Sub-Total 2,530,180 2,718,548 2,508,911 2,007,230 2,610,949CarsUnder102,713 129,780 196,029 217,386 247,3611,000cc Kia - - 73,507 104,481 105,100(800cc)GM Korea 102,713 129,780 122,522 112,905 142,261454,244 391,556 286,495 1,017,988 1,160,7691,001cc~(801cc)Hyundai 305,340 271,409 286,494 547,277 547,007Kia 127,732 119,488 - 311,113 384,6451,600cc(1,500cc) GM Korea 19,625 - - 126,088 167,416Renault Samsung 1,547 659 1 33,510 61,701946,189 1,134,382 1,091,935 208,556 318,032(Units)1,601cc~(1,501cc)2,000ccHyundai 155,080 230,120 273,100 21,772 48,114Kia 291,036 315,259 304,148 40,928 39,718GM Korea 460,461 534,792 464,813 144,623 219,965Renault Samsung 39,612 54,211 49,874 1,233 10,235122,728 126,296 118,866 46,234 98,469Hyundai 106,677 116,130 110,137 44,315 92,086Over2,001ccKia 11,034 10,010 8,592 1,168 5,175GM Korea 4,618 - - - -Renault Samsung 161 101 68 712 1,155Ssangyong 238 55 69 39 53904,306 936,534 815,586 517,066 786,318Hyundai 388,081 368,084 305,103 195,115 280,060MPVKia 405,907 363,582 310,139 244,493 337,657GM Korea 50,521 140,850 112,073 44,030 78,206Renault Samsung - - 45,100 20,720 47,703Ssangyong 59,797 64,018 43,171 12,708 42,692Note : The category of mini cars and small-sized cars were extended up to 1,000cc(from 2008) and 1,600cc(from 2009) respectively.| 42 | Korean Automobile Industry 2011

ExportsType Size YearMaker2006 2007 2008 2009 2010Buses Sub-Total 31,498 38,965 62,654 47,371 68,00726,339 31,730 55,311 39,986 60,407(Units)Under 15PersonsHyundai 24,124 30,015 53,112 38,890 58,092GM Korea 2,215 1,715 2,199 1,096 2,31516~35Persons2,261 3,623 4,104 3,920 4,923Hyundai 2,261 3,623 4,104 3,920 4,9232,898 3,612 3,239 3,465 2,677Over 36PersonsHyundai 1,333 1,967 2,133 1,801 1,823Kia 202 32 - 2 15Daewoo Bus 1,363 1,613 1,106 1,662 839Trucks Sub-Total 85,799 88,307 108,355 91,635 89,23783,618 85,530 105,076 89,301 85,355Under5.0 TonsHyundai 48,052 52,765 62,113 55,325 37,312Kia 35,180 32,173 41,654 33,459 47,296GM Korea 386 592 1,309 517 735Tata Daewoo - - - - 125.0~12.0TonsOver 12.0Tons59 127 192 208 1,101Tata Daewoo 59 127 192 208 1,1012,122 2,650 3,087 2,126 2,781Hyundai 1,104 1,664 1,124 790 742Tata Daewoo 1,018 986 1,963 1,336 2,039SPV Sub-Total 743 1,318 4,045 2,626 3,914| 43 |

Exports2-2-4. Exports by Region and Country(Units)Region & Country 2006 2007 2008 2009 2010Grand Total 2,648,220 2,847,138 2,683,965 2,148,862 2,772,107North Total 851,411 834,907 766,616 608,574 677,660America US 693,124 667,999 598,126 449,403 510,952Canada 110,425 106,554 116,248 128,207 108,160Mexico 47,862 60,354 52,242 30,964 58,548Europe Total 986,730 996,997 818,147 400,548 539,284Italy 102,965 81,517 57,472 57,378 32,529Germany 107,911 112,678 62,556 56,232 39,818Spain 123,211 89,716 34,035 23,020 35,683UK 73,318 62,479 50,013 55,103 58,623Netherland 48,671 28,056 21,350 8,558 11,427France 52,871 42,779 37,856 35,976 39,021Greece 21,479 18,463 10,205 3,133 4,459Belgium 30,664 26,911 18,989 9,947 10,240Denmark 20,856 12,629 11,244 4,562 12,716Malta 1,140 1,089 930 471 449Cyprus 1,661 1,779 1,141 601 874Sweden 12,394 11,344 7,972 2,968 6,028Austria 28,758 12,779 10,200 6,594 5,234Ireland 14,848 14,353 6,263 634 834Portugal 7,097 6,580 4,942 4,084 6,622Finland 16,941 8,758 4,938 385 2,382Bulgaria 12,894 6,526 1,921 361 833Rumania 14,320 14,210 6,331 553 347Hungary 17,458 35,626 27,482 15,617 20,197Czech 17,011 12,982 7,356 3,241 2,578Slovenia 7,932 6,546 5,692 545 404Poland 30,061 19,478 17,242 9,665 6,142Estonia 1,801 1,297 423 26 48Lithuania 608 336 83 17 6Latvia 347 15 5 15 4Slovakia 1,737 2,459 2,267 2,427 748Luxemberg - - 26 11 17EU Sub-Total 768,954 631,385 408,934 302,124 298,263Russia 141,751 255,063 297,357 76,202 195,131Croatia 4,409 3,506 2,651 205 328Ukraine 36,068 68,737 69,204 7,754 16,932Kazakhstan 3,103 5,641 2,251 268 2,364Azerbaijan 1,921 5,446 11,538 5,172 7,820| 44 | Korean Automobile Industry 2011

Exports(Units)Region & Country 2006 2007 2008 2009 2010Europe Uzbekistan 2,800 2,928 6,108 2,753 5,741Switzerland 14,990 10,326 9,248 3,485 7,041Iceland 1,878 1,635 744 30 493Norway 6,660 5,735 2,680 396 951Gibraltar 76 28 12 22 10Others 4,120 6,567 7,420 2,137 4,210Europe Others Sub-Total 217,776 365,612 409,213 98,424 241,021Middle Total 271,591 329,030 418,786 419,797 586,740East Saudi Arabia 82,403 96,513 101,138 127,003 145,044Syria 22,195 27,132 41,090 57,338 86,992Israel 19,074 29,886 27,806 15,443 21,903U.A.E 22,090 26,010 46,343 7,215 28,044Turkey 41,824 34,944 30,657 31,787 48,055Lebanon 3,154 4,745 11,985 7,138 14,537Oman 19,177 20,226 29,015 24,361 27,981Iraq 3,497 6,002 13,493 30,828 55,734Kuwait 8,523 12,510 15,256 12,135 14,275Qatar 6,732 6,504 7,027 4,165 6,907Jordan 5,911 7,693 18,431 29,451 44,477Egypt 26,454 31,666 46,479 51,452 60,446Barein 4,450 6,128 9,964 4,795 5,791Yeman 1,636 1,688 1,992 1,574 2,377Iran 4,207 17,117 17,197 14,247 22,818Palestain 264 266 913 865 1,359Latin Total 208,516 300,919 290,788 283,956 446,619America Chile 51,954 73,850 70,191 68,280 112,695Columbia 28,294 45,629 26,906 25,334 42,256Puerto Rico 6,747 4,597 4,029 7,525 9,432Ecuador 20,462 13,943 23,227 16,812 28,404Venezuela 28,621 48,113 6,999 2 7Dominican Rep. 3,096 4,065 2,443 2,345 5,990Brazil 12,108 40,830 70,916 112,545 152,614Costa Rica 4,204 5,274 5,284 2,125 4,782El Salvador 4,689 5,569 4,093 938 1,898Guatemala 9,120 5,592 4,103 3,067 3,689Panama 7,728 10,770 10,369 8,397 12,740Cuba 1,058 1,951 2,156 1,166 1,769Martinique 2,380 1,929 1,207 230 478Trinidad & Tobago 2,299 2,809 3,314 1,615 2,372| 45 |

Exports(Units)Region & Country 2006 2007 2008 2009 2010Latin Bahama 1,303 1,142 694 512 612America Peru 5,175 8,751 16,702 17,307 34,110Aruba 1,578 1,378 1,364 633 967S. Matten 1,967 1,462 1,422 665 1,265Others 15,733 23,265 35,369 14,458 30,539Pacific Total 102,247 118,367 104,489 147,570 180,317Australia 87,512 102,462 89,554 134,207 163,432New zealand 9,549 8,784 8,663 8,905 11,968New Caledonia 2,350 2,816 2,721 1,848 2,390Tahiti 571 725 490 493 289Guam 560 601 494 483 626Polynesia 810 1,107 958 665 576Others 895 1,872 1,609 969 1,036Asia Total 82,928 89,728 104,132 114,699 169,933China 33,469 43,622 51,858 50,737 88,395Malaysia 10,732 7,365 3,057 3,268 14,125Singapore 17,066 9,873 8,605 15,570 9,124Taiwan 4,105 858 873 644 1,428Philippines 8,939 11,273 12,050 12,515 23,017Japan 1,000 723 414 955 226Indonesia 1,248 3,517 4,512 2,321 6,592Vietnam 1,353 5,371 10,726 19,912 12,224Thailand 570 593 1,177 1,837 4,232Brunei 1,103 1,696 1,963 1,541 2,145Hongkong 544 367 608 407 858Pakistan 127 161 110 144 63India 493 878 2,739 439 1,895Others 2,179 3,431 5,440 4,409 5,609Africa Total 144,797 177,190 181,007 173,718 171,554South Africa 60,935 59,645 31,242 40,437 65,998Algeria 26,635 50,029 56,860 52,692 49,105Nigeria 6,739 10,857 22,668 12,974 7,936Canary Islands 5,548 4,264 1,221 65 70Morocco 9,094 17,860 14,857 9,701 9,848Reunion 1,497 1,127 907 228 184Libya 22,694 19,922 34,229 37,245 14,548Angola 3,943 5,627 7,849 8,375 4,760Sudan 1,516 1,151 1,138 1,213 1,263Others 6,196 6,708 10,036 10,788 17,842| 46 | Korean Automobile Industry 2011

Imports & Registration3. Automobile Imports (Units)Region Country2008 2009 2010Total Passenger Cars Total Passenger Cars Total Passenger CarsN. America Total 10,145 9,329 8,576 7,670 15,230 14,560US 8,172 7,310 6,852 6,256 13,357 12,697Mexico 1,273 1,272 1,182 874 1,214 1,214Canada 750 747 542 540 659 649Europe Total 40,944 38,332 40,133 37,982 62,996 59,734Germany 31,524 30,221 32,187 31,135 48,786 47,664Italy 195 156 120 108 127 110Sweden 2,105 1,544 1,699 1,150 2,379 1,258UK 1,311 1,273 1,984 1,975 4,117 4,106Belgium 853 853 810 810 2,256 2,256France 2,318 2,317 943 937 2,292 2,290Others 2,638 1,968 2,390 1,867 3,039 2,050Japan 26,942 26,121 16,761 16,544 23,621 23,155Others 2,506 1,857 3,532 3,003 3,130 3,044Grand Total 80,537 75,639 69,002 65,199 104,977 100,493Source : Korea Customs Service4. Automobile RegistrationYear Passenger Cars Buses Trucks SPV Total%Chg. %Chg. %Chg. %Chg. %Chg.2010 13,631,754 4.7 1,049,742 -2.9 3,204,260 1.2 55,600 3.5 17,941,356 3.62009 13,023,803 4.3 1,080,705 -1.5 3,166,971 0.2 53,731 1.6 17,325,210 3.22008 12,483,809 3.2 1,096,726 -0.7 3,160,845 -0.3 52,907 1.6 16,794,287 2.22007 12,099,793 4.2 1,104,960 -0.1 3,171,393 1.2 52,099 5.4 16,428,245 3.42006 11,606,986 4.4 1,105,647 -1.7 3,133,243 1.0 49,427 3.6 15,895,303 3.22005 11,122,214 4.7 1,124,961 -6.6 3,102,219 1.3 47,701 1.7 15,397,095 3.12004 10,620,574 3.3 1,204,625 -3.4 3,062,366 1.5 46,909 4.6 14,934,474 2.42003 10,278,940 5.6 1,247,095 -2.2 3,016,461 4.2 44,837 6.0 14,587,333 4.62002 9,737,430 9.5 1,275,318 1.4 2,894,412 6.1 42,281 7.4 13,949,441 8.02001 8,889,349 10.0 1,257,424 -11.9 2,728,464 8.7 39,376 6.0 12,914,613 7.1Note : Figures include imported vehicles.Source : The Ministry of Land, Transport and Maritime Affairs(Units)| 47 |

Sales in US & Europe5. Automobile Sales in US and Europe5-1. Light Vehicle Sales by Origin in US(Units)Origin 2006 2007 2008 2009 2010Grand Total 16,502,696 16,089,222 13,194,741 10,401,682 11,554,576US Manufactured 12,811,289 12,336,074 9,820,001 7,680,381 8,807,715Big3 8,742,314 8,105,884 6,052,947 4,454,925 5,119,108Japanese T/P 3,627,515 3,743,624 3,343,712 2,810,055 3,055,738European T/P 246,099 248,577 234,991 215,030 251,364Korean T/P 195,361 237,989 188,351 200,371 381,505Imported Cars 3,691,407 3,753,148 3,374,740 2,721,301 2,746,861European 674,874 699,261 654,862 556,644 634,786Japanese 2,095,281 2,222,903 1,895,273 1,399,713 1,421,651Korean 663,585 534,493 486,788 534,756 512,991Big3 257,667 296,491 337,817 230,188 177,433Note : 1. T/P : Transplant in USSource : Wards Auto2. Light vehicle figures include cars and light trucks.5-2. Passenger Car Sales by Maker in Europe(Units)Maker 2006 2007 2008 2009 2010Grand Total 15,782,959 15,958,871 14,717,358 14,499,059 13,785,698VW Group 3,185,448 3,150,933 3,040,295 3,065,341 2,936,832PSA Group 2,038,146 2,050,708 1,866,155 1,887,379 1,844,063Renault Group 1,445,205 1,380,952 1,286,205 1,347,940 1,410,263GM Group 1,609,472 1,635,040 1,405,990 1,284,171 1,190,404Ford Group 1,396,905 1,402,756 1,232,952 1,280,397 1,109,588Fiat Group 1,166,067 1,249,092 1,180,562 1,255,310 1,041,287BMW Group 794,734 848,080 819,946 708,124 750,379Daimler 828,081 826,150 791,969 683,399 669,092Volvo 243,715 265,159 223,641 204,478 230,307Chrysler 110,884 119,722 93,132 50,374 36,874Japan 2,169,573 2,224,832 1,980,685 1,888,428 1,675,865Toyota 906,877 929,585 766,884 717,347 600,314Nissan 329,284 310,698 336,321 366,938 402,654Suzuki 263,364 287,793 248,926 249,623 195,458Honda 280,276 313,898 265,225 244,751 187,408Mazda 255,646 240,354 243,912 211,143 182,684Mitsubishi 134,126 142,504 119,417 98,626 107,347Korea 566,723 561,277 508,574 593,529 620,911Hyundai 326,218 308,687 269,931 342,108 358,284Kia 240,505 252,590 238,643 251,421 262,627Others 228,006 244,170 287,252 250,189 269,833Note : Data includes EU and EFTA.Source : ACEA| 48 | Korean Automobile Industry 2011

Licensed Drivers6. Licensed Drivers (Persons)Type 1 Type 2YearTotal%Large Ordinary Small Special Sub-Total Ordinary SmallTwoWheelerSub-Total2009 25,822,149 53.0 1,803,216 15,076,953 21 3,451 16,883,641 8,485,597 10,340 442,571 8,938,5082008 25,268,379 52.0 1,723,357 14,517,649 24 3,478 16,244,508 8,561,731 10,157 451,983 9,023,8712007 24,681,440 50.9 1,643,468 13,950,803 24 3,332 15,597,627 8,620,142 9,435 454,236 9,083,8132006 24,088,229 49.9 1,569,687 13,289,729 26 3,342 14,862,784 8,752,021 8,943 464,481 9,225,4452005 23,497,657 48.8 1,497,985 12,474,621 30 3,470 13,976,106 9,030,307 8,619 482,625 9,521,5512004 22,735,053 47.3 1,405,017 11,715,778 35 3,267 13,124,097 9,107,720 8,101 495,135 9,610,9562003 22,062,457 46.1 1,325,825 11,102,708 37 3,268 12,431,838 9,109,779 7,812 513,028 9,630,6192002 21,223,010 44.6 1,270,504 10,400,477 41 3,404 11,674,426 9,001,680 8,089 538,815 9,548,5842001 19,884,337 42.0 1,203,106 9,476,727 44 3,079 10,682,956 8,634,346 7,903 559,132 9,201,3812000 18,697,346 39.8 1,141,159 8,677,637 47 2,982 9,821,825 8,285,863 7,635 582,023 8,875,521Note : % means the share of licenced drivers among total population.Source : National Police Office| 49 |

Roads7. Roads (km)YearTotal Length of RoadsPavedHighwaysNational RoadsSpecial CityRoadsLocal RoadsCity/CountryRoads%% % % %2009 104,983 83,196 79.2 3,776 13,820 97.4 18,749 99.4 18,138 81.9 50,501 64.32008 104,236 81,829 78.5 3,447 13,905 97.4 18,517 99.4 18,193 81.1 50,174 61.12007 103,019 80,642 78.3 3,368 13,832 97.4 18,109 99.4 18,175 80.6 49,535 62.92006 102,061 79,194 77.6 3,103 14,225 97.4 17,738 99.5 17,677 79.5 49,318 61.92005 102,293 78,587 76.8 2,968 14,224 97.3 17,506 99.4 17,710 79.0 49,885 60.92004 100,278 76,312 76.1 2,923 14,246 97.4 17,371 99.2 17,476 78.4 48,262 59.32003 97,252 74,690 76.8 2,778 14,234 96.9 17,130 99.7 17,485 77.8 45,625 60.02002 96,037 73,660 76.7 2,778 14,232 96.9 18,224 93.7 17,084 78.0 43,719 61.02001 91,396 70,192 76.8 2,637 14,254 96.5 17,810 93.6 15,704 78.5 40,992 60.42000 88,775 67,291 75.8 2,131 12,413 98.2 17,839 88.7 17,151 78.3 39,240 60.4Source : The Ministry of Land, Transport and Maritime Affairs| 50 | Korean Automobile Industry 2011

GM KOREAMEMBER COMPANIES

Member CompaniesHyundai Motor CompanyVelosterHEAD OFFICE :231, Yangjae-Dong, Seocho-Gu, Seoul, 137-938, KoreaTel : 82-2-3464-1114Fax : 82-2-3464-3477www.hyundai.comEstablished in 1967, Hyundai Motor Co. has grown into the Hyundai Motor Group, the worldsfifth-largest automaker since 2007. Hyundai vehicles range from small cars to top-end luxurysedans to commercial vehicles. Hyundai Motor, which exported its first independently-madevehicle, the Pony, in 1976, now exports over one million high-quality vehicles ranging fromsedans, SUVs, trucks and buses.In 2010, Hyundai Motor sold about 3.6 million cars worldwide, of which 659,565 units were sold inthe Korean market, reaching a domestic market share of about 45 percent. Outside Korea, thecompany sold about 2.9 million cars in 2010 in over 186 countries through some 5,300 dealers.Hyundai has three plants in Korea that have a combined capacity of about 1.86 million units ayear. The Ulsan plant, comprised of five independent plants, is the worlds largest automobileplant, employing over 34,000 workers capable of producing 5,600 vehicles daily. The AsanPlant mainly produces mid-to large-size passenger vehicles for export with an annualproduction capacity of 260,000 units. The Jeonju Plant specializes in producing mid and largesizedbuses, trucks with 2.5 tons payload or more and specialty vehicles, with an annualproduction capacity of 70,000 units. The Jeonju plant is the worlds largest commercial vehicleproduction plant in terms of the plants scale.Employing over 75,000 people worldwide, Hyundai Motor is implementing a new global policyaimed at localization. This includes product development, design, sales, marketing, andconsumer services to satisfy local customerstastes as well as that of the global market.Currently Hyundai Motor has six overseas plants in the US., India, China, Turkey, Russia andthe Czech Republic. The company started building its seventh overseas plant in Brazil thisyear. Hyundai Motor today has a combined global production capacity of about 3.66 millionunits a year (Korea Domestic:1.86 million / Overseas:1.8 million).To support its localization goals, Hyundai Motor has also established local R&D centers andtest bases around the world. Some of its major R&D centers include the California Design &Research Center, the Hyundai American Technical Center Inc., the Mojave Proving Ground(U.S), Hyundai Motor Europe Technical Center (Germany) and the Hyundai Motor Japan R&DCenter (Japan). As a result, the company is able to produce vehicles suited to the tastes andneeds of local customers.Since its establishment, customer satisfaction has been Hyundai Motors highest priority, andcustomer happiness its biggest reward. As a result, Hyundai has been selected as one of thetop 100 global brands six years in a row and its cars have been recognized for theiroutstanding quality and performance in recent years, receiving numerous awards from theworlds most respectable organizations in the auto industry. To name a few, in January 2009,Hyundais Genesis won the prestigious North American Car of the Year award, while thecompanys Tau V8 engine was named as one of Wards 10 Best Engines for threeconsecutive years since 2008.Main Products Passenger Carsi10, i20, Santro(Atos), Click(Getz),Verna(Accent), i30, i30cw,Avante(Elantra), Sonata,Grandeur(Azera), Genesis,Genesis Coupe, Veloster, Equus Recreational Vehiclesix20, Tucson ix, Santa Fe,Veracruz Commercial VehiclesGrand Starex(H1 TQ),PorterⅡ(H100 Truck),HD series of Medium- andHeavy-Duty Trucks,Buses and Special Purpose VehiclesPresent StatusEmployees : 56,137 persons(78,539 persons, Worldwide)2010 Sales : 36,769 KRW bil.2010 Shareholders’ Equity : 27,347 KRW bil.Company VisionLifetime partner in automobiles andbeyondFoundation DayDecember 29,1967| 52 | Korean Automobile Industry 2011

Member CompaniesKia Motors CorporationK5HEAD OFFICE :231, Yangjae-Dong, Seocho-Gu, Seoul, 137-938, KoreaTel : 82-2-3464-1114Fax : 82-2-3464-6845www.kiamotors.comKia Motors Corporation (www.kiamotors.com) - a maker of quality vehicles for the young-atheart- was founded in 1944 and is Korea’s oldest manufacturer of motor vehicles. In 1998, itbecome a member of the Hyundai-Kia Automotive Group and has since gone on to becomeone of the world’s fastest growing automakers.Kia today has over 44,000 employees around the world and annual revenues of over US$20billion. More than 2 million vehicles are sold annually and serviced through a network of over4,200 overseas distributors and dealers covering 165 countries.Kia has four production facilities in Korea with a combined annual capacity of over 1.6 millionvehicles. In recent years, Kia has aggressively expanded its overseas production networkwhich is now comprised of state-of-the-art manufacturing plants in the world’s most strategicautomotive regions of the USA, Europe and China.Today’s Kia product line-up boasts impressive reliability, dramatically increased quality andsuperb driving dynamics. To build a successful long - term brand vision that can truly be sharedwith customers, Kia has placed design at the core of its strategy for excellence and hasreframed its entire brand philosophy accordingly.Kia is also a supporter of some of the world’s most prominent sporting events through itsstanding as the major sponsor of the Australian Open tennis championship, official automotivepartner of FIFA - the governing body of the FIFA World Cup - and EUROTOP partner of UEFA.Kia Motors Corporation’s brand slogan -The Power to Surprise- represents the company’sglobal commitment to surpassing customer expectations through continuous automotiveinnovation.Main Products Passenger CarsMorning(Picanto), Pride(Rio), Forte,Cerato, ceed, K5(Optima),Opirus(Amanti), K7(Cadenza) Recreational VehiclesSoul, Venga, Carens(Rondo),Carnival(Sedona), Sportage R,Sorento R, Mohave(Borrego) Commercial VehiclesLarge-sized Buses, Small-sizedTrucks, Special Purpose & MilitaryVehiclesPresent StatusEmployees : 32,599 persons(44,000 persons, Worldwide)2010 Sales : 23,261 KRW bil.2010 Shareholders’ Equity : 9,661 KRW bil..Company VisionMarket leadership, profit leadership,sustainability leadershipFoundation DayDecember 11, 1944| 53 |

Member CompaniesGM Korea CompanyAlpheonGM KOREAHEAD OFFICE :199-1, Chongcheon-dong, Bupyeong-gu, Incheon 403-714, KoreaTel : 82-32-520-2114Fax : 82-32-520-4658www.gm-korea.co.krGM Korea Company (GM Korea) was established on October 17, 2002, and has been growingrapidly in terms of vehicle development and exports, becoming a key player in the Koreanautomotive industry.GM Korea products are sold in Korea and more than 150 markets in every corner of the world.Its comprehensive lineup of vehicles and powertrains includes the Spark, Aveo, Cruze,Orlando, Captiva, Alpheon, Labo/Damas, highly efficient gasoline and diesel engines, and sixspeedautomatic transmissions.GM Korea operates manufacturing facilities in the cities of Gunsan, Changwon, Incheon andBoryung. Its plant in Hanoi, Vietnam - Vietnam Daewoo Motor Company (VIDAMCO)-assembles selected GM Korea products for the Vietnamese market. GM Korea sold 1,842,374vehicles and vehicle kits worldwide in 2010.The GM Korea Design Center and Technical Center are the global mini and small cararchitectural development homeroom for GM’s current and next-generation products. GMKorea also has maintained its competitive edge in manufacturing technology and is overseeingresearch in production technology.Main Products Passenger CarsChevrolet Spark, Chevrolet Aveo,Chevrolet Cruze, Chevrolet Malibu,Alpheon, Chevrolet Camaro Recreational VehiclesChevrolet Orlando, Chevrolet Captiva Commercial VehiclesDamas, LaboPresent StatusEmployees : 17,030 persons2010 Sales : 12,597 KRW bil.2010 Shareholders’ Equity : 2,766 KRW bil.Company VisionA Global Leader in Automotive Design,Quality and Customer ValueFoundation DayOctober 17, 2002GM Korea is a key contributor to the creation of jobs and a harmonious labor-managementenvironment in Korea. It employs about 17,000 people worldwide in its core automotivebusiness. In addition, GM Korea is engaged in a variety of corporate social responsibilityactivities such as vehicle donations, support for low income families and employee volunteerprograms to assist the handicapped.Further information about GM Korea can be found at www.gm-korea.co.kr orwww.chevrolet.co.kr.| 54 | Korean Automobile Industry 2011

Member CompaniesRenault Samsung MotorsSM7HEAD OFFICE :185, Sinho-dong, Gangseo-gu, Busan 618-722, KoreaTel : 82-51-979-7000Fax : 82-51-979-7290www.renaultsamsungm.comRenault Samsung Motors, which is a member of the Renault-Nissan Alliance, is a full-fledgedKorean automotive company with world-class competitiveness based on cutting-edgetechnologies, design capabilities, etc. It is a company that brings together resources andcapabilities of Korea, Renault of France, and Nissan of Japan. In other words, it is a companywith a unique corporate structure under which different cultures of the three nations andcapabilities of three different companies are combined together to create synergies. Thesesynergies have allowed the company to provide Korean customers with superior cars anddifferentiated services maximizing customer satisfaction.Renault Samsung Motors believes that cars are not simply a means of transportation but rathera “way of life.” To embody this belief, it strives to build cars that express customers’ differentlifestyles. The company has also been consistent in fulfilling its corporate social responsibility.By committing itself to supporting culture & arts as well as traffic safety education for children, itaims to ultimately improve customers’ quality of life.Main Products SM3, SM5, SM7, QM5Present StatusEmployees : 7,582 persons2010 Sales : 5,168 KRW bil.2010 Shareholders’ Equity : 1,243 KRW bil.Company VisionProvide best customer satisfactionwith profitable growth as a member ofthe Renault of the Renault-NissanAlliance.Foundation DaySeptember 1, 2000Renault Samsung Motors has a clear vision of its future. The company will grab a greatershare of the domestic market and accelerate exports to more varied regions. This will involveexpanding its production facilities and sales network, not to mention increasing R&Dinvestment for new model development. Through such continued investments, its goal is tostrengthen ties with suppliers and contribute to the regional economies by creating more jobs.Renault Samsung Motors’ ambition is to become the top performing company within theRenault-Nissan Alliance in quality, efficiency and profitability, and to play a key role in theRenault Group’s Asia strategy. Supported by profitable growth, the company strives to providebest customer satisfaction. Having firmly established its roots in Korea, the company is nowaiming at becoming a global player in car industry.| 55 |

Member CompaniesSsangyong Motor CompanyKorando CHEAD OFFICE :150-3, Chilgoe-dong, Pyeongtaek, Gyeonggi-do, KoreaTel : 82-31-610-1114Fax : 82-31-610-3700www.smotor.comSsangyong Motor’s 56 years is a history of frontiers and challenges for a better future. As apremier manufacturer in Korea’s automotive industry, Ssangyong is loved for its advancedstyle and outstanding performance since its foundation in 1954, which are made possible bythe company’s elaborate workmanship.The company opened the era of four-wheel drive vehicles in the 1980s by independentlydeveloping Musso and Korando. After 2000, Ssangyong established itself as the leader ofSUVs by building a full line up of SUVs consisting of Rexton, Kyron, Actyon, and ActyonSports.Also, Chairman, which has become the nation’s leading brand by opening a new horizon forthe luxury sedan market, has been upgraded to the name of as Chariman W, a world-classluxury sedan. As Korea’s first luxury vehicle that is equipped with a V8 5,000cc engine as wellas a 7-speed automatic transmission, Chairman W is the nation’s flagship sedan thatcompetes with other leading luxury cars around the world.Moreover, eco-friendly compact SUV Korando C is Ssangyong Motor’s first front wheel drivemonocoque type vehicle that is a milestone for the company’s long-term product line-up andwill succeed Korando, Korea’s longest living car brand in global SUV market.Ssangyong Motor has led the advancement of eco-friendly diesel technology through thedevelopment of an advanced, world-class common rail engine. Recently, the company isconcentrating efforts in strengthening its global competitive edge by producing environmentfriendly,small eXDi200 engines that conform to the EURO5 standards. The company has alsoset off to develop a future engine that is in compliance with the EURO6.By implementing global and customer-oriented management, Ssangyong Motor is expandingits presence in the global arena. The motor company exports various SUVs through 1,090sales networks in over 91 countries. Ssangyong is actively entering the global market byestablishing local bases in major markets overseas. For instance, the company has openedlocal head offices and parts centers in Europe-a region that leads the global automobile trend.To secure growth engine for sustainable growth, Ssangyong Motor will not only focus on thematured markets but also develop emerging markets such as Central America and EastEurope and even target India and China, the world’s largest automobile market.Pursuing only the best, Ssangyong Motor is gathering its efforts to develop new designs andtechnologies that can achieve high driving performance and reflect the company’s true identity.Moreover, by fully capitalizing on its strong SUV product lineup, SYMC will be able tostrengthen its position as a competitive SUV maker in technical cooperation with Mahindra &Mahindra, a company whose flagship product is also the SUV.Main Products Recreational VehiclesRexton, Korando C, Kyron, ActyonSports, Actyon, Rodius(Stavic) Passenger CarsChairman W, Chairman HPresent StatusEmployees : 4,698 persons2010 Sales : 2,070 KRW bil.2010 Shareholders’ Equity : 309 KRW bil.Company VisionThe global automotive companycreating a high value life styleFoundation DayMarch 4, 1954| 56 | Korean Automobile Industry 2011

Related OrganizationsRelated OrganizationsOrganizationWebsiteAddressTel / FaxMinistry of KnowledgeEconomywww.mke.go.kr88 Gwanmoon-ro, Gwacheon-si, Gyeonggi-do,Korea(82-2)1577-0900/(82-2)503-9627Ministry of Environmentwww.me.go.kr88 Gwanmoon-ro, Gwacheon-si, Gyeonggi-do,Korea(82-2)1577-8866/(82-2)504-5957Ministry of Land, Transportand Maritime Affairswww.mltm.go.kr88 Gwanmoon-ro, Gwacheon-si, Gyeonggi-do,Korea(82-2)1599-0001/(82-2)2150-1000Korea Auto IndustriesCoop. Associationwww.kaica.or.kr1638-3, Seocho-dong, Seocho-gu, Seoul, Korea(82-2)587-0014/(82-2)583-7340Korea AutomotiveTechnology Institutewww.katech.re.kr74, Yongjeong-ri, Pungse-myeon, Cheonan-si,Chungnam, Korea(82-41)559-3114/(82-41)559-3068The Korean Society ofAutomotive Engineerswww.ksae.orgFl, 13th Paradise Venture Tower, 703-33Yeoksam-dong, Gangnam-gu, Seoul, Korea(82-2)564-3971~2/(82-2)564-3973Korea TransportationSafety Authoritywww.ts2020.kr117, Hwarangno, Danwon-gu, Ansan-si,Gyeonggi-do, Korea(82-31)481-0114/(82-31)401-8471National Institute ofEnvironmental Researchwww.nier.go.krEnvironemtal Research Complex, Gungseodong,Seo-gu, Incheon, Korea(82-32)560-7114/(82-32)568-2031Korea ConsumerAgencywww.kca.go.kr108,Yangjae daero, Seocho-gu, Seoul, Korea(82-2)3460-3000/(82-2)529-0408The Korea Trasport Institutewww.koti.re.kr315, Goyang daero, Ilsanseo-gu, Goyang-si,Gyeonggi-do, Korea(82-31)910-3144/(82-31)910-3222Korea Automobile Importers& Distributors Associationwww.kaida.co.kr6th Floor, PSG Bldg., 563-30, Sinsa-Dong,Gangnam-gu, Seoul, Korea(82-2)518-9924/(82-2)518-9926Korea Automobile DisassembleRecycle Associationwww.kadra.or.krRm. No. 806, Dongnam Officetel, 104-10, Gurodong,Guro-gu, Seoul, Korea(82-2)867-0625/(82-2)867-0622Korean Society ofTransportationwww.kor-kst.or.krScience & Technology Bldg., Suite 809,Yeoksam-dong, Gangnam-gu, Seoul, Korea(82-2)564-9201~2/(82-2)564-9203| 57 |

Korea Automobile Manufacturers AssociationKAMA, 25 Banpodaero, Seocho-gu, Seoul 137-867, KoreaTel : (82-2) 3660-1800 Fax : (82-2) 3660-1900 www.kama.or.kr