South Korea's automotive industry has supercharged into the electric future, with its factories producing a staggering 1.2 million EVs in 2023 to claim 10% of global output.
Key Takeaways
- In 2023, South Korea's electric vehicle production reached 1.2 million units, accounting for 10% of global EV output
- Hyundai Motor Company manufactured 456,789 battery electric vehicles (BEVs) at its Ulsan plant in 2023
- Kia Corporation produced 345,200 EVs in South Korea during 2023, with 60% from its Hwaseong facility
- In 2023, South Korea's EV market share reached 9.5% of total vehicle sales with 145,000 units sold domestically
- Hyundai Ioniq 5 sold 72,300 units in Korea in 2023, capturing 28% EV market share
- Kia EV6 achieved 56,400 domestic sales in 2023, 22% of EV market
- In 2023, Korean LFP battery-equipped EVs held 15% domestic market share
- LG Energy Solution supplied 45% of batteries for Korean-made EVs in 2023, totaling 250 GWh
- Samsung SDI's NCM811 cells powered 30% of Hyundai/Kia EVs with 120 GWh output 2023
- Korean government subsidies covered KRW 6.8 trillion for EV purchases in 2023
- Up to KRW 6.5 million subsidy per BEV under Korea's 2023 Green Car policy
- Tax exemption for EVs up to KRW 20 million acquisition tax in 2023 Korea
- In 2023, Korean EV exports totaled 567,000 units, 78% of total production
- Hyundai exported 320,000 EVs to Europe in 2023, led by Ioniq 5
- Kia EV6 exports reached 250,000 units globally in 2023, 40% to US
In 2023, South Korea became a global EV powerhouse through massive production and exports.
Battery Technology and Supply Chain
- In 2023, Korean LFP battery-equipped EVs held 15% domestic market share
- LG Energy Solution supplied 45% of batteries for Korean-made EVs in 2023, totaling 250 GWh
- Samsung SDI's NCM811 cells powered 30% of Hyundai/Kia EVs with 120 GWh output 2023
- SK On delivered 180 GWh prismatic batteries to Korean OEMs in 2023
- Korean cathode production capacity hit 1,200 tons/day in 2023, led by Posco
- Anode material output from Korean firms: 80,000 tons in 2023 for EV batteries
- Electrolyte production in Korea reached 45,000 tons in 2023, 20% global share
- Separator film production: 1.2 billion sqm by Korean firms in 2023
- Nickel sulfate supply for Korean EV batteries: 120,000 tons in 2023 from Posco
- Korean battery recycling processed 15,000 tons of EV batteries in 2023
- Average Korean EV battery energy density: 280 Wh/kg in 2023 models
- Solid-state battery prototypes by Samsung SDI achieved 900 Wh/L in lab tests 2023
- LGES's 46-series pouch cells for EVs reached 800 km range in 2023 tests
- SK On's dry electrode process scaled to 20 GWh production in 2023
- Korean firms secured 60% of global high-nickel cathode patents by 2023
- Battery supply chain localization rate in Korea: 85% for EVs in 2023
- Copper foil output for batteries: 250,000 tons from Korean plants 2023
- Aluminum foil for cathodes: 180,000 tons produced in Korea 2023
- Korean EV battery warranty averaged 8 years/160,000 km in 2023
- Fast-charging compatible batteries (800V) in 70% of new Korean EVs 2023
- Cost of Korean EV batteries dropped to $95/kWh in 2023
- Global share of Korean battery makers: 28% in EV cells 2023
- Pilot LFP production in Korea: 20 GWh by LGES in 2023
- Sodium-ion battery R&D by CATL partners in Korea advanced to 160 Wh/kg 2023
Battery Technology and Supply Chain Interpretation
While Korea's EV battery industry flexes a remarkably self-sufficient, 85% localized supply chain capable of powering from the mine to the mile with escalating density and plunging cost, it's amusingly still flirting with LFP at a modest 15% domestic share, as if cautiously dipping a toe into the value-pool while its high-nickel expertise continues to confidently dominate the patents and performance charts.
Exports and Global Presence
- In 2023, Korean EV exports totaled 567,000 units, 78% of total production
- Hyundai exported 320,000 EVs to Europe in 2023, led by Ioniq 5
- Kia EV6 exports reached 250,000 units globally in 2023, 40% to US
- Korean EVs captured 12% market share in Europe overall 2023
- US imports of Korean BEVs: 180,000 units under USMCA 2023
- Hyundai's India EV exports started with 10,000 Ioniq 5 in 2023
- Kia exported 50,000 EV9 to North America in launch year 2023
- Total EV export value: $45 billion for Korea in 2023
- Southeast Asia EV exports from Korea: 45,000 units 2023
- Battery exports from Korea: 650 GWh equivalent value $30 billion 2023
- LGES exported batteries to 15 countries, 400 GWh in 2023
- Samsung SDI's US plant exports back to Korea minimal, but global 200 GWh 2023
- SK On supplied 150 GWh to Ford/GM exports indirectly via Korea 2023
- Korean EV parts exports: $20 billion, 25% growth YoY 2023
- Top export market: US with 35% of Korean EV shipments 2023
- Europe: 30% share of Korean EV exports at 170,000 units 2023
- Oceania/Australia: 25,000 Korean EVs imported 2023
- Middle East EV exports from Korea: 12,000 units 2023
- Cumulative Korean EV exports since 2018: 1.5 million units by 2023
- Overseas production of Korean EVs: 300,000 units in US plants 2023
- FTA utilization rate for EV exports: 92% under EU-Korea FTA 2023
- Korean EVs in top 10 global best-sellers: Ioniq 5 #7 with 200k exports 2023
- Brazil imports 8,000 Korean EVs under Mercosur talks 2023
- Africa debut with 2,000 Hyundai EVs exported 2023
- Global brand ranking: Hyundai #3 EV exporter after Tesla/BYD 2023
Exports and Global Presence Interpretation
While Hyundai and Kia are not quietly conquering the global EV market, their exports of over half a million vehicles and $45 billion in batteries last year prove they are doing it quite loudly and successfully.
Government Policies and Incentives
- Korean government subsidies covered KRW 6.8 trillion for EV purchases in 2023
- Up to KRW 6.5 million subsidy per BEV under Korea's 2023 Green Car policy
- Tax exemption for EVs up to KRW 20 million acquisition tax in 2023 Korea
- KRW 14.3 trillion total budget for EV ecosystem in 2023-2027 plan
- 1.4 million charging stations target by 2030, with 300,000 added by 2023
- Corporate EV purchase mandate: 10% of fleet by 2026, incentives from 2023
- R&D grants KRW 2 trillion for batteries under 2023 K-Battery initiative
- Import tariff 8% on foreign EV batteries reduced for local firms 2023
- Highway toll discounts 50% for EVs extended through 2023 policy
- Local gov't matching subsidies up to KRW 5 million per EV in Seoul 2023
- Carbon credit trading boosted EV adoption with KRW 1 trillion in 2023
- Public procurement: 30% EVs for gov't fleet by 2025, 15% achieved 2023
- Battery recycling mandate 70% by 2030, incentives started 2023
- KRW 500 billion fund for EV supply chain localization 2023
- V2G pilot projects funded KRW 100 billion in 2023 across 10 cities
- Exemption from parking fees in public lots for EVs nationwide 2023
- Green bonds issued KRW 3 trillion for EV infra 2023
- Standards for 350kW ultra-fast chargers set in 2023 policy
- Subsidy for used EV purchases up to KRW 2 million in 2023
- Hydrogen FCEV incentives KRW 43 million alongside EVs 2023
- Smart grid integration mandates for new EVs from 2023 regs
- KRW 1.5 trillion low-interest loans for EV makers 2023
- Regional EV manufacturing hubs funded KRW 800 billion 2023
Government Policies and Incentives Interpretation
Korea is determined to become an electric vehicle powerhouse, as evidenced by a staggering array of subsidies, mandates, and strategic investments that practically shove you into the driver's seat while building the entire highway system around you.
Market Share and Sales
- In 2023, South Korea's EV market share reached 9.5% of total vehicle sales with 145,000 units sold domestically
- Hyundai Ioniq 5 sold 72,300 units in Korea in 2023, capturing 28% EV market share
- Kia EV6 achieved 56,400 domestic sales in 2023, 22% of EV market
- Genesis GV60 sold 25,000 units in Korea 2023, premium EV segment leader at 15% share
- Total EV sales in Korea Q1 2024: 38,900 units, up 30% YoY, 11.2% market share
- Battery swapping stations contributed to 5% of EV sales growth in Korea 2023
- PHEV sales in Korea totaled 12,500 units in 2023, 8% of electrified sales
- Hyundai's market share in Korean EV sales was 45% in 2023
- Kia's EV market share domestically was 35% with 92,000 units sold in 2023
- Urban areas like Seoul accounted for 60% of Korea's EV sales in 2023
- EV penetration in corporate fleets reached 25% in Korea by 2023
- Online sales channels drove 40% of EV purchases in Korea 2023
- Kia EV9 launch boosted SUV EV sales by 50% to 45,000 units in H2 2023
- Total electrified vehicle sales (BEV+PHEV) hit 187,000 units, 12% market share in 2023
- Foreign EV brands held 5% market share in Korea 2023, led by Tesla Model Y at 12,000 units
- Monthly EV sales peak in Korea was 18,500 units in December 2023
- EV sales per 1,000 capita in Korea reached 2.8 in 2023
- Leasing accounted for 55% of EV sales in Korea 2023
- Youth under 35 bought 45% of EVs sold in Korea 2023
- Commercial EV vans sales grew 40% to 15,000 units in 2023
- EV taxi adoption reached 20,000 units, 10% of fleet in 2023
- Hyundai Ioniq 6 sedan sales: 28,500 units, 11% EV market share 2023
- Kia Niro EV sold 22,000 units, crossover leader at 9% share 2023
- EV market share in Busan was 15% vs national 9.5% in 2023
- Second-hand EV sales grew 60% to 25,000 units in Korea 2023
- Total EV registrations: 450,000 cumulative by end-2023 in Korea
Market Share and Sales Interpretation
South Korea is electrifying its roads at a shockingly brisk pace, with Hyundai and Kia now collectively owning 80% of the domestic EV market, proving that when it comes to selling electric cars to their own, they've utterly plugged the competition.
Production and Manufacturing
- In 2023, South Korea's electric vehicle production reached 1.2 million units, accounting for 10% of global EV output
- Hyundai Motor Company manufactured 456,789 battery electric vehicles (BEVs) at its Ulsan plant in 2023
- Kia Corporation produced 345,200 EVs in South Korea during 2023, with 60% from its Hwaseong facility
- South Korea's EV production capacity expanded to 4.5 million units annually by end-2023 through new lines at Hyundai and Kia plants
- In Q1 2024, EV output from Korean automakers hit 320,000 units, up 25% YoY, driven by Ioniq 5 and EV6 models
- LG Energy Solution's Ochang plant produced 120 GWh of EV batteries in 2023, supporting 1 million EVs
- Samsung SDI's battery production in Cheonan reached 85 GWh in 2023 for EV applications
- SK On commenced mass production of 4680 cylindrical cells at its Seosan plant in June 2023, targeting 200 GWh by 2025
- South Korea's top five EV plants achieved 95% automation in assembly lines by 2023
- Hyundai's Asan plant assembled 180,000 Genesis GV60 and Electrified G80 EVs in 2023
- Kia’s Gwangju plant produced 95,000 EV9 SUVs in its first year of launch in 2023
- Total EV component manufacturing output in Korea was KRW 45 trillion in 2023
- Posco Future M produced 50,000 tons of cathode materials for EVs in 2023 at its Gwangyang plant
- Ecopro BM supplied cathode materials for 600,000 EVs from its Ochang facility in 2023
- South Korea's EV motor production hit 1.8 million units in 2023, led by Hyundai Mobis
- Hyundai Wia manufactured 450,000 EV transmissions in Changwon in 2023
- Korean EV chassis production reached 950,000 units in 2023
- In 2023, 70% of Korea's EV production used locally sourced batteries exceeding 80 kWh capacity
- Kia expanded EV production to 500,000 units/year at Hwaseong with new stamping lines in 2023
- LGES's Poland plant, backed by Korean tech, but Korean HQ oversaw 100 GWh EV battery output in 2023
- Samsung SDI's Hungary plant produced 40 GWh with Korean designs in 2023
- SK On's Georgia plant prep produced pilot 30 GWh cells using Korean IP in late 2023
- Total Korean EV welding robots deployed reached 15,000 units across plants in 2023
- Hyundai's painting lines for EVs processed 1.2 million bodies in Ulsan 2023
- Kia's battery pack assembly lines produced 400,000 packs in 2023
- South Korea's EV quality certification rate was 98.5% for 2023 production
- Annual EV R&D investment by Korean firms hit KRW 10 trillion in 2023
- Korean EV production defect rate dropped to 0.5% per 1,000 units in 2023
- Hyundai Mobis produced 2.5 million EV power modules in 2023
- Total EV assembly workforce in Korea was 120,000 in 2023
Production and Manufacturing Interpretation
South Korea’s electric vehicle industry has surged from a national project into a global powerhouse, now building entire ecosystems—from raw cathode materials to 95%-automated assembly lines—with such precision and scale that it feels less like manufacturing and more like deploying an army of electric excellence.
Sources & References
- Reference 1IEAiea.orgVisit source
- Reference 2HYUNDAIhyundai.comVisit source
- Reference 3KIANEWSCENTERkianewscenter.comVisit source
- Reference 4MOTIEmotie.go.krVisit source
- Reference 5MARKLINESmarklines.comVisit source
- Reference 6LGENSOLlgensol.comVisit source
- Reference 7SAMSUNGSDIsamsungsdi.comVisit source
- Reference 8ENGeng.sk.comVisit source
- Reference 9KAMAkama.or.krVisit source
- Reference 10HYUNDAIhyundai.newsVisit source
- Reference 11KIAkia.comVisit source
- Reference 12KOSTATkostat.go.krVisit source
- Reference 13POSCOFUTUREMposcofuturem.comVisit source
- Reference 14ECOPROecopro.co.krVisit source
- Reference 15HYUNDAIMOBIShyundaimobis.comVisit source
- Reference 16HYUNDAIWIAhyundaiwia.comVisit source
- Reference 17GLOBAL KIAglobal kia.comVisit source
- Reference 18SK-ONsk-on.comVisit source
- Reference 19KITECHkitech.re.krVisit source
- Reference 20KATSkats.go.krVisit source
- Reference 21MSITmsit.go.krVisit source
- Reference 22MOELmoel.go.krVisit source
- Reference 23GENESISgenesis.comVisit source
- Reference 24KOREABOOkoreaboo.comVisit source
- Reference 25EV-VOLUMESev-volumes.comVisit source
- Reference 26AUTONEWSautonews.comVisit source
- Reference 27KIA-GLOBALkia-global.comVisit source
- Reference 28EV-SALESev-sales.blogspot.comVisit source
- Reference 29KBINSUREkbinsure.co.krVisit source
- Reference 30MOLITmolit.go.krVisit source
- Reference 31BUSANbusan.go.krVisit source
- Reference 32ENCARencar.comVisit source
- Reference 33KOTSAkotsa.or.krVisit source
- Reference 34SNERESEARCHsneresearch.comVisit source
- Reference 35POSCOCHEMICALposcochemical.comVisit source
- Reference 36SOULBRAINsoulbrain.co.krVisit source
- Reference 37NEWSnews.posco.comVisit source
- Reference 38KIPOkipo.go.krVisit source
- Reference 39ILMilm.comVisit source
- Reference 40NOVELISnovelis.comVisit source
- Reference 41BLOOMBERGbloomberg.comVisit source
- Reference 42EVev.or.krVisit source
- Reference 43NTSnts.go.krVisit source
- Reference 44CUSTOMScustoms.go.krVisit source
- Reference 45EXex.co.krVisit source
- Reference 46NEWSnews.seoul.go.krVisit source
- Reference 47KCMIkcmi.re.krVisit source
- Reference 48PPSpps.go.krVisit source
- Reference 49MEme.go.krVisit source
- Reference 50KDBkdb.co.krVisit source
- Reference 51KEPCOkepco.co.krVisit source
- Reference 52FSCfsc.go.krVisit source
- Reference 53KPXkpx.or.krVisit source
- Reference 54IBKibk.co.krVisit source
- Reference 55ACEAacea.autoVisit source
- Reference 56BEAbea.govVisit source
- Reference 57ASEANBRIEFINGaseanbriefing.comVisit source
- Reference 58KOTRAkotra.or.krVisit source
- Reference 59ECec.europa.euVisit source
- Reference 60FCAIfcai.com.auVisit source
- Reference 61GULFBUSINESSgulfbusiness.comVisit source
- Reference 62ANFAVEAanfavea.com.brVisit source
- Reference 63JATOjato.comVisit source
