JAKARTA - Japanese automaker Honda Motor has decided to stop all sales of its cars in South Korea by the end of this year. The decision was taken in line with changes in the global and domestic automotive market environment in the country.
In its official statement, Honda said it had only marketed a few models in South Korea, such as the Accord and CR-V, since it started selling cars in 2004.
South Korea itself is a relatively small market for Honda. The automotive market in the country is dominated by local manufacturers such as Hyundai and Kia. In addition, Chinese manufacturers such as BYD are also increasingly aggressive in expanding market penetration.
As reported by Reuters, throughout last year, Honda was only able to sell less than 2,000 vehicles in South Korea, down more than 20% compared to the previous year.
This decline reflects the challenges Honda faces in a number of key Asian markets. Increasing competition from local and Chinese manufacturers is one of the main factors that have weighed on sales performance.
In China, Honda's retail sales were recorded at around 646,000 units in 2025, down around 60% compared to the previous five years. The company is also rumored to be closing at least one joint venture plant in the country.
In addition, Honda sales also experienced an annual decline in several Southeast Asian countries, including Thailand, Malaysia, and Indonesia.
This condition shows increasing pressure on Japanese automotive manufacturers amid changes in the global industry landscape, especially with the increasing dominance of regional players and the transition to electric vehicles.
Pressure on Honda in Indonesia is also beginning to be seen from the distribution network. A number of Honda dealers are reported to have closed operations or switched to selling other brands, especially Chinese cars that are increasingly aggressive in the domestic market.
One of the latest is the closure of a dealer in the Pondok Pinang area, South Jakarta. Previously, several other dealers such as in Bandung, Surabaya, Bekasi, and Tangerang had previously switched to other brands.
This phenomenon is inseparable from changes in consumer preferences as well as the increasing penetration of Chinese brands that offer more competitive prices and increasingly sophisticated technology.
The Indonesian Motor Vehicle Industry Association (Gaikindo) data also shows a trend of declining Honda sales in recent years. In 2025, sales were recorded at around 71,233 units, lower than the previous period.
This condition confirms that the pressure on Honda is not only in the global market, but also domestically, in line with the changing map of the increasingly dynamic automotive industry competition.
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