To achieve its 2030 national greenhouse gas reduction target, the South Korean government is significantly tightening greenhouse gas and fuel efficiency standards for automobile manufacturers. Medium and heavy-duty commercial vehicles, previously subject to voluntary reductions, will now face mandatory regulations, while emissions standards for small cars will be raised to align with international benchmarks such as those set by the European Union.
The Ministry of Climate, Energy, and Environment announced on July 14 that it will issue a 60-day administrative notice regarding amendments to the guidelines on average energy consumption efficiency and greenhouse gas standards for medium and heavy-duty vehicles, as well as the average energy consumption efficiency and allowable greenhouse gas emissions standards for automobiles.
These amendments are in line with the national goal of reducing greenhouse gas emissions in the transportation sector to 61 million tons by 2030, as mandated by the Basic Act on Carbon Neutrality and Green Growth. The regulations will apply to both domestic and imported vehicle manufacturers.
Medium and heavy-duty vehicles, which have been operating under a voluntary reduction scheme, will be required to reduce emissions in three phases starting in 2027, based on vehicle classification. The first phase will begin next year with large freight trucks and tractors, followed by the second phase in 2028 for medium and heavy-duty buses, and the third phase in 2030 for medium-sized trucks and dump trucks. The goal is to reduce greenhouse gas emissions by 30% compared to the average emissions from 2021 to 2022.
Starting next year, manufacturers that fail to meet the mandatory standards will face fines. However, to allow manufacturers time to prepare, initial fines will be set at a lower level, with plans to gradually increase them after full implementation in 2031. These fines will be included in amendments to the Enforcement Decree of the Air Quality Conservation Act.
Incentives for the expansion of electric and hydrogen vehicles will also be strengthened. Additional benefits for sales of electric and hydrogen vehicles (super credits) will be extended, and new benefits for hydrogen internal combustion vehicles will be introduced.
Standards for small cars will vary based on size. For passenger cars (up to 10 seats), the current standard of 70g/km will be reduced to 54g/km by 2030, while small trucks and buses with 11 to 15 seats will see a significant reduction from 146g/km to 98g/km.
Measures will also be implemented to support manufacturers in meeting these standards. The classification of manufacturers will be refined from three tiers to four, adding a new category for medium-sized manufacturers. Additionally, indirect reduction methods, such as the use of renewable energy, will be piloted. The sunset clause for super credits for electric and hydrogen vehicles will be extended to 2029 to support the industry's transition to electrification.
The Ministry of Climate will finalize the amendments after gathering feedback from industry, academia, and civil society during the administrative notice period, which ends on September 14.
Kim Jin-sik, Director of the Air Quality Division at the Ministry of Climate, stated, "The greenhouse gas and fuel efficiency management system for automobiles is central to the decarbonization of the transportation sector. Through this revision, we will ensure that our automotive industry secures future competitiveness in the global market while responding to the climate crisis with effective communication and support."
The Ministry of Climate, Energy, and Environment announced on July 14 that it will issue a 60-day administrative notice regarding amendments to the guidelines on average energy consumption efficiency and greenhouse gas standards for medium and heavy-duty vehicles, as well as the average energy consumption efficiency and allowable greenhouse gas emissions standards for automobiles.
These amendments are in line with the national goal of reducing greenhouse gas emissions in the transportation sector to 61 million tons by 2030, as mandated by the Basic Act on Carbon Neutrality and Green Growth. The regulations will apply to both domestic and imported vehicle manufacturers.
Medium and heavy-duty vehicles, which have been operating under a voluntary reduction scheme, will be required to reduce emissions in three phases starting in 2027, based on vehicle classification. The first phase will begin next year with large freight trucks and tractors, followed by the second phase in 2028 for medium and heavy-duty buses, and the third phase in 2030 for medium-sized trucks and dump trucks. The goal is to reduce greenhouse gas emissions by 30% compared to the average emissions from 2021 to 2022.
Starting next year, manufacturers that fail to meet the mandatory standards will face fines. However, to allow manufacturers time to prepare, initial fines will be set at a lower level, with plans to gradually increase them after full implementation in 2031. These fines will be included in amendments to the Enforcement Decree of the Air Quality Conservation Act.
Incentives for the expansion of electric and hydrogen vehicles will also be strengthened. Additional benefits for sales of electric and hydrogen vehicles (super credits) will be extended, and new benefits for hydrogen internal combustion vehicles will be introduced.
Standards for small cars will vary based on size. For passenger cars (up to 10 seats), the current standard of 70g/km will be reduced to 54g/km by 2030, while small trucks and buses with 11 to 15 seats will see a significant reduction from 146g/km to 98g/km.
Measures will also be implemented to support manufacturers in meeting these standards. The classification of manufacturers will be refined from three tiers to four, adding a new category for medium-sized manufacturers. Additionally, indirect reduction methods, such as the use of renewable energy, will be piloted. The sunset clause for super credits for electric and hydrogen vehicles will be extended to 2029 to support the industry's transition to electrification.
The Ministry of Climate will finalize the amendments after gathering feedback from industry, academia, and civil society during the administrative notice period, which ends on September 14.
Kim Jin-sik, Director of the Air Quality Division at the Ministry of Climate, stated, "The greenhouse gas and fuel efficiency management system for automobiles is central to the decarbonization of the transportation sector. Through this revision, we will ensure that our automotive industry secures future competitiveness in the global market while responding to the climate crisis with effective communication and support."
* This article has been translated by AI.
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