This file photo provided by Kia Corp. shows the all-new Niro hybrid model.
SEOUL, Aug. 22 (Korea Bizwire) – The hybrid and battery electric vehicle (EV) market in South Korea continues to expand rapidly.
The domestic market for hybrid and battery electric cars (combined new acquisition prices) reached 6.12 trillion won (US$4.56 billion) and 2.27 trillion won, respectively, in the first half of this year, according to data from the Ministry of Land, Infrastructure and Transport.
This represents a surge of 93 percent and 354 percent compared to the figures reported in the first half of 2021.
In the past two years and seven months, June experienced the highest sales total at 1.3 trillion won, a figure nearly three times greater than the lowest month, which was February 2021.
During the first half of 2021, the size of the domestic hybrid vehicle market accounted for only 19 percent of the internal combustion engine passenger car market.
However, this proportion increased to 43 percent in the first half of this year.
The average price of hybrid vehicles also demonstrated an upward trend, climbing from 27.4 million won in January 2021 to 34.5 million won in July 2023.
Meanwhile, the EV market size experienced a slight dip to 2.28 trillion won in the first half of this year, following a rise from 500.6 billion won in the first half of 2021 to 2.34 trillion won in the second half of 2022.
“Factors such as insufficient charging infrastructure, rising charging costs, and elevated vehicle prices significantly impacted the demand for EVs,” said Kim Phil-soo, a professor of automotive engineering at Daelim University.
Kevin Lee (kevinlee@koreabizwire.com)
