Targeting Overseas Markets with Eco-Friendly Cars: "25% of Export Vehicles Will Be Eco-Friendly Cars in 10 Years"

[Asia Economy Reporter Kim Bo-kyung] The government is accelerating exports of eco-friendly vehicles in the new year. The plan is to expand the share of eco-friendly vehicles to over 25% of total automobile exports by 2030.

On the morning of the 3rd, Sung Yun-mo, Minister of Trade, Industry and Energy, visited the eco-friendly vehicle export site at Pyeongtaek-Dangjin Port to celebrate the export of the first eco-friendly vehicle of the year, the Niro, and to encourage on-site workers. Pyeongtaek-Dangjin Port is the busiest port in the country for automobile cargo volume, handling 1.44 million units of automobile exports and imports in 2018.

◆ First electric vehicle export of the year 'Niro'... Hydrogen truck 'Neptune' debuts = On this day, the car carrier "Glovis Sunrise" departing from Pyeongtaek Port is carrying a total of about 4,260 export vehicles, including 1,300 units from Pyeongtaek Port, 800 units from Gwangyang Port, and 2,160 units from Ulsan Port, heading to Europe.

Eco-friendly vehicles such as electric cars accounted for 468 units loaded at Pyeongtaek Port, with an additional 1,900 units loaded at Gwangyang and Ulsan Ports, totaling about 2,400 units to be exported to six European countries including Germany, Portugal, Finland, and Denmark. Eco-friendly vehicles accounted for 50% of the total loaded vehicles.

The Niro, the first electric vehicle export of 2020 loaded on this day, is a model dedicated to eco-friendly vehicles and is the most exported vehicle among eco-friendly cars. Last year, the number of export countries increased by nine, reaching a total of 60 countries.

The hydrogen truck "Neptune" (tentative name), with a gross weight of 19 tons, was shipped together for local testing and pilot operation in Switzerland. It is planned to be actively exported this year, with about 1,600 units to be exported to Switzerland by 2025. Neptune was recognized on the international stage as "the most innovative commercial vehicle in the world" launched in 2020. Neptune is equipped with a 73.2kWh capacity battery and can travel over 300 km on a single charge.

An official from the Ministry of Trade, Industry and Energy said, "Neptune will be a starting point to show that hydrogen vehicles have potential in the medium and large commercial vehicle market," adding, "If the medium and large truck market, which is mostly diesel vehicles, is replaced by hydrogen vehicles, it could be a turning point that changes the players in the market."

◆ Growing eco-friendly vehicle market... Aggressive overseas export strategy = Although global automobile production is declining recently, the eco-friendly vehicle market is rapidly expanding. The global electric vehicle market has grown 50-70% annually, surpassing 1 million units, and from January to October last year, 1.18 million units were sold, a 28.4% increase compared to the same period the previous year. Hydrogen vehicle sales also recorded 6,097 units, a 101.6% increase compared to the same period last year.

In line with this trend, the government plans to expand the share of eco-friendly vehicle exports from 10.6% (232,000 units) last year to 25% by 2030.

The types of exported eco-friendly vehicles will diversify beyond regular passenger cars to include buses and trucks. The government plans to target Southeast Asian and European markets using electric buses, ultra-small electric vehicles, and cleaning vehicles, and to expand the hydrogen vehicle lineup to special-purpose vehicles (such as airport vehicles) and dump trucks in the future.

Domestic electric vehicle supply is expected to reach 100,000 units this year, and hydrogen vehicles about 15,000 units. As of November last year, the cumulative supply of electric vehicles was 87,000 units, and hydrogen vehicles 4,650 units.

The government's domestic sales target for eco-friendly vehicles this year is 73,000 electric vehicles and 10,000 hydrogen vehicles. To promote eco-friendly vehicle adoption, the government plans to invest 950 billion won, a 60% increase from the previous year, to support purchase subsidies and charging station construction.

Additionally, the government will provide a total of 2.4 trillion won in funding this year to parts companies facing short-term liquidity difficulties and comprehensively support benefits such as tax incentives, subsidies, and land use through the revised Corporate Vitality Act.

This content was produced with the assistance of AI translation services.