Diesel Cars Slip Into Irrelevance in South Korea’s Auto Market | Be Korea-savvy

Diesel Cars Slip Into Irrelevance in South Korea’s Auto Market


Diesel Vehicles Fade as Electric and Hybrid Cars Take Over in Korea

Diesel Vehicles Fade as Electric and Hybrid Cars Take Over in Korea

SEOUL, Jan. 9 (Korea Bizwire) — Registrations of diesel vehicles in South Korea fell below 100,000 for the first time last year, underscoring the rapid retreat of a powertrain that once dominated the market as the country accelerates its shift toward low-carbon transportation.

According to data released Wednesday by Kaiz You Data Research Institute, a total of 97,671 diesel vehicles—including passenger cars and commercial models—were registered in 2025, a drop of 31.8 percent from the previous year.

Diesel vehicles accounted for just 5.8 percent of all new registrations, marking a steep decline from their peak a decade ago.

Diesel cars, prized in the 2010s for fuel efficiency and high torque, once claimed nearly half of new vehicle registrations. In 2016, their market share stood at 47.9 percent.

Since then, tightening emissions regulations and growing consumer preference for electric and hybrid vehicles have steadily eroded demand. Compared with 2015, when nearly one million diesel vehicles were registered, last year’s figure represents a roughly 90 percent collapse.

In 2025, diesel fell to fifth place among fuel types, trailing gasoline vehicles, hybrids, electric vehicles and LPG-powered cars. Registrations of electric vehicles alone were more than twice those of diesel models, reflecting how decisively the market has turned.

Diesel vehicles are becoming increasingly hard to spot on the roads.

Diesel vehicles are becoming increasingly hard to spot on the roads.

The decline is expected to accelerate as government policy further tilts the playing field. The Climate, Energy and Environment Ministry plans to introduce rules requiring automakers and importers to ensure that at least half of new vehicles sold by 2030 are electric or hydrogen-powered.

At the same time, manufacturers are scaling back diesel offerings in the commercial vehicle segment, replacing them with electric purpose-built vehicles.

Industry officials say the diesel phaseout is now well under way. With production volumes shrinking and consumers increasingly wary of regulatory and environmental constraints, diesel vehicles are likely to fade quickly from South Korea’s roads, once a mainstay now rendered obsolete by the push toward decarbonization.

Kevin Lee (kevinlee@koreabizwire.com) 

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