The Korea Times
amn_close.png
amn_bl.png
National
  • Politics
  • Foreign Affairs
  • Multicultural Community
  • Defense
  • Environment & Animals
  • Law & Crime
  • Society
  • Health & Science
amn_bl.png
Business
  • Tech
  • Bio
  • Companies
amn_bl.png
Finance
  • Companies
  • Economy
  • Markets
  • Cryptocurrency
amn_bl.png
Opinion
  • Editorial
  • Columns
  • Thoughts of the Times
  • Cartoon
  • Today in History
  • Blogs
  • Tribune Service
  • Blondie & Garfield
  • Letter to President
  • Letter to the Editor
amn_bl.png
Lifestyle
  • Travel & Food
  • Trends
  • People & Events
  • Books
  • Around Town
  • Fortune Telling
amn_bl.png
Entertainment & Arts
  • K-pop
  • Films
  • Shows & Dramas
  • Music
  • Theater & Others
amn_bl.png
Sports
amn_bl.png
World
  • SCMP
  • Asia
amn_bl.png
Video
  • Korean Storytellers
  • POPKORN
  • Culture
  • People
  • News
amn_bl.png
Photos
  • Photo News
  • Darkroom
amn_NK.png amn_DR.png amn_LK.png amn_LE.png
  • bt_fb_on_2022.svgbt_fb_over_2022.svg
  • bt_twitter_on_2022.svgbt_twitter_over_2022.svg
  • bt_youtube_on_2022.svgbt_youtube_over_2022.svg
  • bt_instagram_on_2022.svgbt_instagram_over_2022.svg
The Korea Times
amn_close.png
amn_bl.png
National
  • Politics
  • Foreign Affairs
  • Multicultural Community
  • Defense
  • Environment & Animals
  • Law & Crime
  • Society
  • Health & Science
amn_bl.png
Business
  • Tech
  • Bio
  • Companies
amn_bl.png
Finance
  • Companies
  • Economy
  • Markets
  • Cryptocurrency
amn_bl.png
Opinion
  • Editorial
  • Columns
  • Thoughts of the Times
  • Cartoon
  • Today in History
  • Blogs
  • Tribune Service
  • Blondie & Garfield
  • Letter to President
  • Letter to the Editor
amn_bl.png
Lifestyle
  • Travel & Food
  • Trends
  • People & Events
  • Books
  • Around Town
  • Fortune Telling
amn_bl.png
Entertainment & Arts
  • K-pop
  • Films
  • Shows & Dramas
  • Music
  • Theater & Others
amn_bl.png
Sports
amn_bl.png
World
  • SCMP
  • Asia
amn_bl.png
Video
  • Korean Storytellers
  • POPKORN
  • Culture
  • People
  • News
amn_bl.png
Photos
  • Photo News
  • Darkroom
amn_NK.png amn_DR.png amn_LK.png amn_LE.png
  • bt_fb_on_2022.svgbt_fb_over_2022.svg
  • bt_twitter_on_2022.svgbt_twitter_over_2022.svg
  • bt_youtube_on_2022.svgbt_youtube_over_2022.svg
  • bt_instagram_on_2022.svgbt_instagram_over_2022.svg
  • Login
  • Register
  • Login
  • Register
  • The Korea Times
  • search
  • all menu
  • Login
  • Subscribe
  • Photos
  • Video
  • World
  • Sports
  • Opinion
  • Entertainment & Art
  • Lifestyle
  • Finance
  • Business
  • National
  • North Korea
  • 1

    Actor Yoo Ah-in appears for questioning over alleged drug use

  • 3

    ANALYSISTesla, BYD's price cuts unnerve LGES, Samsung, SK

  • 5

    Yoo Ah-in appears before police over alleged use of illegal drugs

  • 7

    Will April releases revive Korean cinema? Films to look out for in April

  • 9

    Chun Doo-hwan's grandson apprehended at Incheon Int'l Airport over drug use

  • 11

    Korean crypto investors want Do Kwon punished in US

  • 13

    N. Korea fires 2 SRBMs toward East Sea; US aircraft carrier due in S. Korea for joint training

  • 15

    TEMPLE ADVENTURESHaedong Yonggung Temple prospers on Busan's coast

  • 17

    Nongshim plans to build plant in eastern US region

  • 19

    Clock ticks for China's massive repatriation of N. Korean defectors

  • 2

    SK chief's estranged wife sues his new partner for compensation

  • 4

    4 young Nigerian siblings killed in house fire in Ansan

  • 6

    US aircraft carrier to visit Busan amid NK provocations

  • 8

    Dreams come true: TXT mesmerizes 21,000 fans at KSPO Dome

  • 10

    One of two Kazakhstanis who fled Incheon Int'l Airport nabbed

  • 12

    Families of foreign construction workers can receive retirement pay: court

  • 14

    Gimpo-China flights recover to pre-pandemic levels

  • 16

    Local bank stocks hit by shockwaves from SVB, CS collapses

  • 18

    Right-wing Japanese support Seoul-Tokyo ties: Korean envoy to Japan

  • 20

    Indonesian investment minister promotes EV cooperation with Korea

Close scrollclosebutton

Close for 24 hours

Open
  • The Korea Times
  • search
  • all menu
  • Login
  • Subscribe
  • Photos
  • Video
  • World
  • Sports
  • Opinion
  • Entertainment & Art
  • Lifestyle
  • Finance
  • Business
  • National
  • North Korea
Business
  • Tech
  • Bio
  • Companies
Wed, March 29, 2023 | 09:18
Companies
Korean importers of Chinese electric buses frustrated by subsidy cut
Posted : 2023-02-02 16:56
Updated : 2023-02-03 13:34
Print PreviewPrint Preview
Font Size UpFont Size Up
Font Size DownFont Size Down
  • facebook
  • twitter
  • kakaolink
  • whatsapp
  • reddit
  • mailto
  • link
BYD's K9 electric bus / Courtesy of BYD
BYD's K9 electric bus / Courtesy of BYD

By Park Jae-hyuk

The Ministry of Environment has decided to reduce subsidies for the purchases of electric vehicles (EVs) that use batteries with lower energy density, thwarting the attempt by Korean importers of Chinese electric buses to stop the move.

In contrast, the ministry accepted the request from Korean importers of cars made in the U.S., Europe and Japan to continue to offer subsidies for the purchases of EVs made by carmakers having outsourced service centers here.

On Thursday, the environment ministry said it will reform rules on subsidies for the purchase of EVs, in order to focus on supporting safer and better-performing cars. The new rules will be finalized on Feb. 9.

The announcement came about a month after the government unexpectedly postponed its plan to announce the reformed rules, after facing a backlash from EV importers.

"We expect the new rules to contribute to enhancing technological competitiveness, as well as reducing emissions of pollutants and greenhouse gases," an environment ministry official said.

According to the new policy, subsidies will be cut by 30 percent for the purchases of electric buses, if the buses use LFP (lithium ferro-phosphate) batteries whose energy densities are lower than 400 kilowatts per liter. Most Chinese electric buses operating here are using those batteries, which have lower energy density compared to NCM (nickel, cobalt and manganese) batteries used in Korean EVs.

GS Global, a general trading company under GS Group, which imports electric buses from Chinese company BYD, complained about the measure, claiming that energy density is irrelevant to performance and safety.

"The new rules seem to be intended to support Korean electric bus makers, which have smaller market shares," a GS Global official said. "We just want predictability in government policies."

Even before the environment ministry announces the measure, some Chinese EV importers reportedly asked the Chinese Embassy in Korea to send a letter to the Korean government to protest the new subsidy rules that are unfavorable to them.

The government, however, sided with domestic carmakers that have called for countermeasures against Chinese EVs that have increased their shares in Korea's commercial vehicle market.

Regarding electric passenger cars, the government decided to cut subsidies by up to 20 percent for the purchases of EVs made by carmakers that do not operate after-sales service centers directly in Korea.

Except for Tesla running its own service centers in Yongin, Gyeonggi Province, and eight other regions, most other foreign carmakers have outsourced service centers here.

However, they are unlikely to be hit by the reformed subsidy rules, as the government will not cut subsidies for the purchases of EVs made by carmakers that directly train mechanics at their outsourced service centers.

In response, the Korea Automobile Importers & Distributors Association (KAIDA), comprised of importers of cars made in the U.S., Europe and Japan, said it respects the government's decision.

"We expect the reformed rules to promote development and supply of EVs, and to enable consumers to have better chances to choose among a greater variety of products," KAIDA said in a statement.


Emailpjh@koreatimes.co.kr Article ListMore articles by this reporter
 
Top 10 Stories
1Clock ticks for China's massive repatriation of N. Korean defectors Clock ticks for China's massive repatriation of N. Korean defectors
2Revised Japanese textbooks distort wartime forced labor, catching Korea off guardRevised Japanese textbooks distort wartime forced labor, catching Korea off guard
3Ramsar wetland in Han River cleaned up for protected birdlife Ramsar wetland in Han River cleaned up for protected birdlife
4CJ CheilJedang sees chicken as next big seller after frozen dumplingCJ CheilJedang sees chicken as next big seller after frozen dumpling
5Gold price nears all-time high amid financial jitters Gold price nears all-time high amid financial jitters
6BMW launches new XM BMW launches new XM
7Civic groups in Gwangju await meeting with Chun Doo-hwan's grandson Civic groups in Gwangju await meeting with Chun Doo-hwan's grandson
8North Korea unveils tactical nuclear warhead North Korea unveils tactical nuclear warhead
9Jeju seaways get busy with cruise ships, new trade route to Qingdao Jeju seaways get busy with cruise ships, new trade route to Qingdao
102024 budget to focus on tackling low birthrate 2024 budget to focus on tackling low birthrate
Top 5 Entertainment News
1Will April releases revive Korean cinema? Films to look out for in April Will April releases revive Korean cinema? Films to look out for in April
2Dreams come true: TXT mesmerizes 21,000 fans at KSPO Dome Dreams come true: TXT mesmerizes 21,000 fans at KSPO Dome
3'My ID is Gangnam Beauty' to be adapted into live action series in Thailand 'My ID is Gangnam Beauty' to be adapted into live action series in Thailand
4[INTERVIEW] Choi Min-sik, Lee Dong-hwi on creating Korean-style noir with 'Big Bet' INTERVIEWChoi Min-sik, Lee Dong-hwi on creating Korean-style noir with 'Big Bet'
5Ra Mi-ran, Lee Re to lead fantasy drama 'The Mysterious Candy Store' Ra Mi-ran, Lee Re to lead fantasy drama 'The Mysterious Candy Store'
DARKROOM
  • Turkey-Syria earthquake

    Turkey-Syria earthquake

  • Nepal plane crash

    Nepal plane crash

  • Brazil capital uprising

    Brazil capital uprising

  • Happy New Year 2023

    Happy New Year 2023

  • World Cup 2022 Final - Argentina vs France

    World Cup 2022 Final - Argentina vs France

CEO & Publisher : Oh Young-jin
Digital News Email : webmaster@koreatimes.co.kr
Tel : 02-724-2114
Online newspaper registration No : 서울,아52844
Date of registration : 2020.02.05
Masthead : The Korea Times
Copyright © koreatimes.co.kr. All rights reserved.
  • About Us
  • Introduction
  • History
  • Contact Us
  • Products & Services
  • Subscribe
  • E-paper
  • RSS Service
  • Content Sales
  • Site Map
  • Policy
  • Code of Ethics
  • Ombudsman
  • Privacy Statement
  • Terms of Service
  • Copyright Policy
  • Family Site
  • Hankook Ilbo
  • Dongwha Group