EV Supply Program Threshold to Change... Minimum Passing Score Set at 60 Out of 100

Starting in the second half of this year, the government will implement a competency assessment for manufacturers and importers participating in the electric vehicle (EV) supply program. Only companies scoring at least 60 out of 100 points will be allowed to participate in the program. The government intends to introduce new assessment criteria encompassing supply chain management, after-sales service, safety management, and other factors to verify the capabilities of participating companies. Companies that pass the assessment will become eligible for government EV purchase subsidies.

On May 13, the Ministry of Climate, Energy, and Environment announced the finalized 'Evaluation Criteria for Selecting Electric Vehicle Supply Program Operators.' Beginning in the second half of this year, only manufacturers and importers who pass the assessment based on these criteria will be permitted to take part in the EV supply program.

The finalized assessment criteria build upon the draft released in March and have been refined and quantified based on feedback from the National Assembly, the automotive industry, and expert institutions. The government explained that it designed the assessment categories to be as specific as possible to minimize unnecessary disputes and interpretational differences during the evaluation process.

The assessment consists of five areas and 13 subcategories: ▲Technological Development Capability ▲Supply Chain Contribution ▲Environmental Policy Response ▲After-Sales Service Sustainability ▲Safety Management. Of these, supply chain contribution carries the highest weight at 40 points. After-sales service sustainability is allocated 20 points, environmental policy response and safety management are each assigned 15 points, and technological development capability is worth 10 points.

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Supply Chain and Employment Contribution Worth 40 Points

In the area of technological development capability, the government will assess the scale of research and development investment, research facilities, and professional workforce for electric vehicles and parts produced and sold domestically. The focus will be on whether the company possesses quality control capabilities tailored to the local environment and regulations, rather than just sales performance.

For companies headquartered overseas, the assessment will consider not only the performance of their Korean subsidiaries but also a portion of the R&D investment made by their global headquarters. The government explained that this approach is intended to allow a fair evaluation of actual technological development capability.

The supply chain contribution, which carries the most weight, will assess the degree of integration with the domestic EV industry ecosystem. The evaluation will consider not only production and supply capabilities but also whether a stable supply chain has been established, as well as the extent of contribution to domestic employment and the transition of the local parts industry. The government believes that subsidies should be used to strengthen the domestic industrial base, rather than merely expanding sales.

In the environmental policy response category, the assessment will cover carbon emissions generated during EV manufacturing, the use of low-carbon materials, and systems for battery and parts recycling and retrieval. The aim is to evaluate environmental management capabilities across the entire lifecycle, from production to end-of-life battery processing. The government stated that this approach is intended to maximize greenhouse gas reduction and resource circulation.

Title: Electric Vehicle 'Electricity Theft'

An electric vehicle charging cable is connected to a shared 220V outlet in an underground parking lot. This is an unauthorized act of drawing power from a non-designated charging area, known as electricity theft. There is a regrettable lack of mature civic awareness keeping pace with the rapid adoption of electric vehicles. (In an underground parking lot of an apartment complex in Seoul) Photo by Dongju Yoon

Assessment Includes Recall and Fire Response

The after-sales service sustainability category is considered the most consumer-protection-oriented area. The government will evaluate whether a nationwide maintenance network and parts supply system have been established, and will also verify the company's ability to address defects and conduct recalls. In particular, to prevent consumers from suffering losses due to post-sale withdrawal or discontinuation of business, the government will check the company’s ability to maintain operations over the medium and long term.

With recent public concern over EV fires and information security, these issues have also been included as assessment items. The government will check whether companies have systems in place for immediate response in the event of fires or defects, and will also assess their cybersecurity capabilities—including the ability to respond to threats such as vehicle data breaches or remote control vulnerabilities.

Additionally, companies that fail to follow program procedures or do not comply with government requests for corrective action will be subject to score deductions. The government stated that it will ensure that national subsidies are not provided to companies lacking sufficient operational capabilities.

The Ministry of Climate, Energy, and Environment also emphasized that these criteria are not intended to exclude specific companies. The evaluation system has been designed to allow not only competitive domestic firms, but also overseas and new companies that contribute to the domestic EV ecosystem, to participate.

Jung Sunhwa, Director of Green Transition Policy at the Ministry, stated, "We will ensure that state-funded EV subsidies are used effectively to build a sustainable electric vehicle ecosystem and accelerate the transition from internal combustion engine vehicles to electric vehicles by supporting the supply of EVs that meet high standards for quality and safety."

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