Sales of Japanese Cars Plunge in Korea

July sales of imported Japanese cars in South Korea plummeted 17% to 2,700 units because of a boycott sparked by trade restrictions imposed by Japan.

The Korea Automobile Importers & Distributors Assn. notes that volume in July also fell 32% from the prior month.

Last week Japan imposed limits on its shipments of chemicals critical to Korea’s semiconductor and display screen industries. On Friday the country broadened its restrictions by removing Korea from its list of preferential trade status countries.

Boycotters claim Japan’s trade constraints were retaliation for court rulings last year that ordered two Japanese companies to pay compensation to Koreans who were used as forced laborers during Japan’s colonial rule of Korea in the early 1900s.