Tesla is facing rising competition in South Korea as local automakers introduce more competitively priced electric vehicles (EVs).

The United States carmaker became the country’s third-largest imported auto brand in sales during 2024, with 29,750 units sold of its Model Y electric SUV, according to the Korea Automobile Importers & Distributors Association.

Volvo Car Korea, ranked fourth in imported car sales last year, has launched the EX30 compact electric SUV.

South Korean automakers are also competing for market share, with Kia recently launching the EV4, its first compact electric sedan.

Other manufacturers, including Audi and Volkswagen, are preparing to release new EV models in South Korea.

Recent Tesla developments