Diesel car sales plunge as price of gas hits home

Soaring diesel prices means sales of diesel-fueled recreational vehicles are sinking while sales of compact sedans are surging.The average retail price of diesel reached 1,624 won ($1.62) per liter last week, equal to 95 percent of the gasoline price at 1,705 won.With diesel prices almost catching up with gasoline prices, sales of domestic RVs, most of which are equipped with diesel engines, declined 7 percent in the first quarter of this year compared to a year earlier, while sales of domestic sedans increased 7 percent, according to Korea Automobile Manufacturers Association data.The sales of major RV models plunged year on year in the January-March period. Kia Motors�� Sorento declined 36 percent, Ssangyong Motor��s Rexton, 25 percent, Hyundai Motor��s Tucson, 13 percent and GM Daewoo��s Winstorm, 26 percent.Ssangyong Motor, which depends heavily on sport-utility vehicles, was hit especially hard.


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