SEOUL, Jan. 15 (Korea Bizwire) — The South Korean government unveiled new measures on Wednesday to bolster the competitiveness of eco-friendly vehicles and secondary batteries, focusing on expanding electric vehicle (EV) charging infrastructure and extending highway toll discounts for electric and hydrogen vehicles.
As part of this initiative, the government plans to introduce medium-speed EV chargers with an output of 30–50kW in large supermarkets and cinemas. Currently, only fast chargers (40kW or higher) and slow chargers exist, neither of which suit locations where people typically stay for 2–3 hours.
Fast chargers impose a fine for exceeding a one-hour parking limit, and slow chargers cannot fully charge vehicles within a few hours. The new medium-speed chargers are intended to address this gap.
Additionally, the permitted usage time for plug-in hybrid electric vehicles (PHEVs) on slow chargers will be reduced from 14 hours to 7 hours. New regulations will also penalize vehicles occupying charging spaces without actively charging.
In 2025, the government will invest 375.8 billion KRW to install 4,400 new fast chargers, focusing on high-demand areas. For densely populated residential zones with limited parking and transformer capacity, mobile chargers will be deployed to mitigate charging blind spots.
Legislation will be amended within the year to ease the installation of chargers on public properties, eliminating the need for local council approval.
To stimulate EV demand, the government will continue providing proportional purchase subsidies when manufacturers offer vehicle discounts. Young adults aged 19 to 34 buying their first EV will receive a 20% subsidy increase, and multi-child families will receive an additional 1 million to 3 million KRW depending on the number of children.
The government is also considering revising the Automobile Management Act to separate EV ownership from battery ownership, a move aimed at lowering initial purchase costs.
Further measures include updating driver’s license test criteria to reflect EV characteristics and replacing 10% of test vehicles at licensing centers with EVs.
For hydrogen vehicles, the government plans to double the number of high-capacity hydrogen charging stations (80kg/hour or more) from 56 to 119 by 2027. Additionally, 25% of intercity buses will transition to hydrogen power by 2030, with tiered subsidies to promote high-performance hydrogen buses.
Hydrogen fuel subsidies, currently 3,600 KRW per kilogram, will be increased, and discounted natural gas prices for hydrogen production will be extended until 2027.
The government will maintain individual consumption and acquisition tax exemptions for EV purchases—300,000 KRW and 140,000 KRW, respectively—until 2026. Highway toll discounts for electric and hydrogen vehicles will also be extended until 2027, though the discount rate will gradually decrease: 40% in 2025, 30% in 2026, and 20% in 2027.
M. H. Lee (mhlee@koreabizwire.com)