Daegu City to Distribute 11,462 Eco-Friendly Vehicles This Year... 10.3 Million KRW Support for Electric Passenger Cars

[Asia Economy Yeongnam Reporting Headquarters Reporter Koo Dae-seon] Daegu City announced on the 21st that it will expand the supply of eco-friendly vehicle subsidies this year, distributing a total of 11,462 units.

This is the largest annual supply volume since the city began private sector distribution of eco-friendly vehicles in 2016, representing an increase of about 16% compared to last year.

Daegu City's eco-friendly vehicle distribution started in 2011 targeting public institutions and has been actively promoted since 2016 by expanding to the private sector. Up to last year, a total of 34,901 units have been distributed, with plans to supply 100,000 units by 2027.

This year, private sector distribution of eco-friendly vehicles totals 11,462 units, including 7,877 electric vehicles, 3,335 two-wheelers, and 250 hydrogen vehicles. Subsidies will be prioritized for converting taxis, old diesel vehicles, and children's school transportation vehicles?those with high air quality improvement effects?to electric vehicles.

Subsidies vary by vehicle type: up to 10.3 million KRW for electric passenger cars, up to 16 million KRW for electric small cargo vehicles, and up to 60 million KRW for electric medium buses. Hydrogen vehicles receive a fixed subsidy of 32.5 million KRW.

Additionally, electric taxis can receive up to 12.3 million KRW, electric medium-sized vans used as children's school transportation vehicles up to 65 million KRW, and considering livelihood demands, small business owners and low-income groups purchasing electric cargo vehicles will receive an additional subsidy of up to 19.6 million KRW.

Daegu City Hall Dongin-dong Office Building.

Due to the Ministry of Environment's subsidy reform, once a subsidy is received, the same vehicle type cannot receive it again within a restricted re-subsidy period. For passenger cars, this period remains two years as in the previous year, but for cargo vehicles, it has been extended from two to five years. Furthermore, while the re-subsidy restriction previously applied only to individual buyers, from this year it has been expanded to include individual business owners and corporations.

However, corporations that have no history of receiving subsidies through Daegu City this year can receive only national subsidies without being subject to the re-subsidy restriction period through the Korea Environment Corporation.

With this reform, most corporations, which were large-scale purchasers, will receive support through the Korea Environment Corporation, and with the expansion of the re-subsidy restriction targets and periods, more balanced subsidy opportunities can be provided to individuals and individual business owners.

Lee Seung-dae, Director of the Innovation Growth Office of Daegu City, said, “We appreciate the high interest of citizens in eco-friendly vehicles and will strive to ensure that the distribution of eco-friendly vehicles leads to the revitalization of the automobile-related industry and contributes to the activation of the local economy.”

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