Inexpensive Chinese SUV gains traction from S.Korea

Sales of the KENBO 600 sportutility vehicle (SUV), produced by China’s BAIC Yinxiang Automobile Co, are making strong gains in the South Korean market, according to a report on Wednesday by South Korea’s Yonhap News Agency.

Zhonghan Automotive Co, a South Korean importer of the vehicle from China, had sold 600 KENBOs by the end of April following its launch in December 2016, a spokesman for the company said, according to the report.

The KENBO 600, marketed as the S6 in China, was produced in Southwest China’s Chongqing by BAIC Yinxiang Automobile Co, a joint venture with Beijing-based BAIC Motor Corp. It was the first Chinese passenger vehicle to enter the South Korean market, according to media reports.

Demand for imported Chinese vehicles in South Korea is growing mainly due to the competitive price, a local importer was quoted as saying to Yonhap on Wednesday.

The KENBO 600 SUV model is 1.5-liter gasoline powered vehicle that sells for between 19.9 million won ($17,500) and 20.99 million won in the local market, the company said, according to the report.

The Chinese automaker BAIC Motor Corporation sold more than 40,000 units of the vehicle in China in 2016, and has exported it to about 20 countries, according to Korea JoongAng Daily in January.

“To meet growing local demand for Chinese vehicles, we are planning to import an additional 110 KENBO 600 SUVs this month,” the spokesman was quoted as saying by Yonhap.