By Ryu Jin
Staff Reporter
Hybrid cars made in the United States will be imported to South Korea without tariffs once the free trade pact between the two sides comes into effect a newly discovered story disclosed, which the South Korean government is accused of having covered up.
Officials in Seoul have so far said that tariffs on all U.S.-made hybrid vehicles would be phased out in the next 10 years. But a large portion of the eco-friendly vehicles would be imported without tariffs immediately, according to government ministries on Friday.
``It was a controversial item up to the last moment of the negotiations since there was no clear standard on the hybrid cars,’’ an official at the Ministry of Commerce, Industry and Energy said. ``We decided that only those which rely more on electric motor power than the internal combustion engine would be applied to the 10-year tariff phase-out plan.’’
South Korea and the U.S. struck a free trade agreement (FTA) in April after 10-months of intensive negotiations. Governments of both countries will have to seek legislative endorsement when their officials formally sign the deal late this month.
They agreed to abolish tariffs on most ordinary automobiles immediately, while phasing out the tariffs on eco-friendly, futuristic vehicles such as hybrid cars in the coming 10 years.
A hybrid vehicle is a car that uses two or more distinct power or fuel systems. It combines an on-board rechargeable energy storage system and a conventional propulsion system _ internal combustion engines fueled by gasoline or diesel _ to achieve better fuel economy.
Without being hampered by range from a charging unit like an all-electric vehicle, hybrid electric vehicles (HEV) are more eco-friendly since they emit less harmful exhaust gas than conventional vehicles.
South Korean officials did not elaborate on the details of the clauses related to the tariffs on the hybrid cars when they made public the full text draft of the trade pact along with the U.S. last month.
But it was belatedly found that the hybrid vehicles that are mainly powered by gasoline and diesel engines will be exempt from tariffs. For most hybrid cars, at present, the main supply of power is the internal combustion engine with the electric motor engine as only a secondary supply of power, although it is true that the latest technologies pursue more innovative hybrid cars driven by electric power.
But critics pointed out that most of the hybrid cars, produced by Japan’s Honda and Toyota, are using gasoline engines as a main power supply. If Japanese firms manufacture cars on U.S. soil and then export them to South Korea, they would be brought into the South Korean market without any tariffs attached.