According to Yonhap News,

(SEOUL = Yonhap News) South Korean automakers sold a record 8.6 million vehicles last year, fueled by steady overseas demand for vehicles that largely offset weak domestic sales, industry data showed Thursday.

Combined sales of five car manufacturers led by Hyundai Motor Co. reached 8,602,715 vehicles last year, up about 5 percent from 8,196,878 units sold in 2012.

Domestic sales dropped 2.1 percent, or 29,263 vehicles, from a year earlier due to sluggish demand, while overseas sales climbed around 6.4 percent for a gain of 435,100 units.

Hyundai and its affiliate Kia Motors Corp. contributed to the solid showing by pulling off 7.3 percent and 3.9 percent growth, respectively, compared to the year before. The two are flagship companies of the Hyundai Motor Group, the world's fifth largest automotive manufacturer.

Combined sales of the carmakers surpassed 7.54 million vehicles last year, which is 2.0 percent higher than the target set in early 2013.

Hyundai Motor Group chairman Chung Mong-koo said at the group's New Year's ceremony that Hyundai and Kia aim to sell 7.86 million units this year, with 4.90 million units coming from Hyundai.

Hyundai said that despite the 4.0 percent drop in domestic sales, its overseas sales jumped 9.3 percent to bolster overall numbers. It said 2.9 million of all of its cars sold abroad last year were made at overseas plants, a 16.5 percent increase from the year before.

Hyundai's production plant in China produced more than a million vehicles last year, followed by 633,000 in India and 399,000 units in the United States.

The Avante compact, Sonata mid-size and Grandeur high-end sedans bolstered sales numbers, with demand for the Tucson iX and Sante Fe growing by double digits.

A company official, declining to be named, said Hyundai expects competition to become fiercer in the global car market this year.

"There is a pressing need to adapt swiftly and flexibly to any developments that may occur to ensure the company's continued growth," he said.

Its smaller sister Kia also did well, with a 5.8 percent increase in overseas sales offsetting minus domestic growth.

Kia's domestic market sales were down 5.0 percent on-year to 458,000 vehicles. The poor showing, however, was mitigated by 5.8 percent growth in overseas sales that hit 2.369,321 units.

Its best-selling model was the Sportage R crossover utility vehicle, with 407,587 units sold worldwide, followed by the Pride subcompact with 380,041 cars sold, the carmaker said. The Pride is sold as the Rio in some foreign markets.

Company insiders said that efforts must be made in the New Year to counter the weakening of the Japanese yen that will hurt the price competitiveness of Kia cars in foreign markets.

GM Korea Co., the local unit of General Motors Co. of the United States, said its 2013 sales contracted 2.5 percent from a year earlier.

South Korea's third-largest carmaker sold a total of 780,518 vehicles last year, down from 800,635 sold for the whole of 2012, the company said.

Its domestic sales climbed 3.7 percent on-year to a high of 151,040 units, on the back of demand for steady-selling models such as the Aveo subcompact, Captiva recreational vehicle and small commercial vans and trucks such as the Damas and Labo.

Overseas shipments, however, fell 3.9 percent to 629,478 vehicles due to weak general demand for cars.

The latest data showed the carmaker's Chevrolet Spark supermini remained by far its best-selling model, with 60,969 units sold last year.

"In 2014, GM Korea will continue to increase competitiveness by diversifying the product lineup while making safety and customer satisfaction an absolute priority," said the company's vice president Marc Comeau.

No. 4 player Ssangyong Motor, the local unit of Indian sport utility vehicle (SUV) maker Mahindra & Mahindra Ltd., said its sales grew 20.7 percent on-year on the strength of consumer demand for its new models.

The carmaker said domestic sales grew to 63,970 units with exports, including knockdown kits, reaching 81,679 vehicles for a combined figure of 145,649 cars sold throughout the year.

"The overall annual figure is the best achieved since 2002 and marks the fourth straight year of growth for the company," Ssangyong said in a press release after the annual tally was announced in a regulatory filing.

It credited the strong showing to the company's launch of new models such as the New Korando C.

Renault Samsung Motor, that smallest of the local original equipment manufacturers (OEMs) and the South Korean unit of French automaker Renault SA, said it sold 131,010 vehicles last year, compared with 154,309 units tallied in 2012.

The company said domestic sales edged up 0.2 percent on-year to 60,027 units, thanks to the rise in demand for the SM3 compact sedan and QM5 small crossover utility vehicles.

Overseas shipments, meanwhile, nosedived 24.8 percent on-year, with 70,983 units.

Renault Samsung, on the other hand, said domestic sales in December jumped 23.8 percent to 7,927 vehicles last month.

"This may spell the revival of demand for cars made by Renault Samsung Motors in South Korea," the company claimed.

Automotive analysts said most OEMs did relatively well last year thanks to a spike in sales in foreign markets that compensated for weak sales on the home front.

They also said that 2013 showed a growing tendency to rely more on foreign manufacturing plants. The year was important because local companies have been able to bring about growth under adverse conditions such as stiffer competition from Japanese rivals, they said.