What Lies Ahead for South Korea’s Commercial Vehicle Policies in 2025?

Early last year, the government sought to curb the long-standing issue of contract-based cargo transport while proposing a ‘Standard Freight Rate System’ as an alternative to the now-expired Safe Freight Rate System. However, no formal announcement was made by year-end.Additionally, subsidies for electric commercial vehicles were adjusted based on battery energy density, and frequent EV fire incidents prompted the government to push for a new battery certification system. In 2025, the government is expected to maintain its eco-friendly policies while introducing autonomous driving technologies into the commercial vehicle sector.Read more, Click here.

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Daejeon to Launch Pilot Program for ‘Three-Section Articulated Buses’

Daejeon City has officially launched a pilot project for three-section articulated buses to alleviate traffic congestion in the Doan-dong area of Seo-gu District.The Ministry of Land, Infrastructure, and Transport (MOLIT) held its 4th Mobility Innovation Committee meeting, where regulatory exemptions were granted to support innovative transportation services, which had previously been restricted under existing regulations.Following review and consultation on eight mobility service applications submitted since August last year, the ministry approved an exemption to the ‘Vehicle Length Restriction’ under the Automobile Management Act. As a result, Daejeon’s articulated bus project is expected to increase passenger capacity, reduce vehicle operation costs, and ease traffic congestion.Read more, Click here.  

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South Korean Government Finalizes 2025 EV & Hydrogen Vehicle Subsidy Guidelines with Performance-B..

Unlike last year, the Ministry of Environment has finalized the 2025 subsidy guidelines for electric (EV) and hydrogen vehicles earlier than usual, marking the start of full-scale subsidy support.While last year’s guidelines primarily focused on battery specifications, this year’s subsidies will be based on vehicle driving performance, charging capabilities, and battery safety.For electric vehicles, the total budget allocated for the project is 1.5057 trillion KRW, with 1.4010 trillion KRW designated for local government subsidies and 104.7 billion KRW for private sector subsidies. Apart from passenger vehicles, 153 billion KRW is allocated for commercial vehicles, and 546 billion KRW for electric cargo trucks.Read more, Click here.  

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MAN Truck & Bus Korea Aims for Customized Services Following Last Year’s Success

MAN Truck & Bus Korea announced that despite uncertainties in the domestic and global truck market, it achieved meaningful results last year.This success was driven by several factors, including: ▲Completion of a voluntary recall with an impressive 96.6% resolution rate, restoring customer trust in MAN trucks▲Continuous product upgrades and new model launches ▲Expansion of its nationwide service network to enhance market responsiveness   Read more, Click here.

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The Ultimate Safe Transport Vehicle! Carsus’ ‘Vibration-Free Truck’

Carsus Co., Ltd., a company specializing in vibration-free suspension technology, is set to celebrate its 20th anniversary in February 2025. The company is now embarking on ambitious future development plans based on its proprietary technology.Air suspension technology was first introduced in Korea just months before the 1997 IMF financial crisis. Vehicles equipped with dual air suspension significantly minimize road vibrations and shocks, reducing vibrations by more than 50% compared to standard transport trucks. As a result, they are commonly referred to as ‘vibration-free vehicles.’Read more, Click here.

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Used Cargo Truck Market Remains Steady, but Mid-Sized Cargo Trucks See Active Transactions

The used truck market maintained a stable trend last year, with transactions at a similar level to the previous year. According to exclusive statistics provided by Carisyou Data Research Institute, which processes data from the Ministry of Land, Infrastructure, and Transport, a total of 18,101 medium- to large-sized cargo trucks, including special vehicles and tractors, were sold in used truck markets across the country from January to November 2024. This marks a slight 0.4% increase compared to the 18,036 units recorded during the same period the previous year.   Read more, Click here.

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Cargo-Based Special Vehicle Market Remains Stagnant, with High Demand for Heavy-Duty Models

South Korea’s special vehicle market, which experienced a sharp decline two years ago, has shown no signs of recovery and remained stagnant throughout last year. Read more, Click here.

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Tata Daewoo’s Heavy-Duty Cargo Truck ‘MAXEN’ Soars in Sales After Three Years

Tata Daewoo Mobility’s flagship heavy-duty truck, ‘MAXEN,’ has rapidly gained traction in the domestic cargo market within just three years of its launch. It is now closely trailing Hyundai Motor’s ‘Xcient Pro’ in terms of new vehicle registrations, a model that has long dominated the market.Read more, Click here.

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Spotlight on Light Trucks: South Korea Moves from Cab-Over to Semi-Bonnet Designs

After 30 years, South Korea's iconic 1-ton trucks are transitioning from the cab-over design to semi-bonnet models, addressing long-standing safety concerns. Introduced in 1997, the cab-over design lacked sufficient crumple zones, leading to higher injury risks. In response, the government tightened safety regulations in 2022, paving the way for this shift.   Read more, Click here.

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2025 Budget Analysis: South Korea's Commercial Vehicle Sector

South Korea's 2025 budget for the commercial vehicle sector has been set at 1.6087 trillion KRW, a slight decrease from last year’s 1.6238 trillion KRW. However, the eco-friendly commercial vehicle allocation has increased to 1.2001 trillion KRW, up 3.5% (411 billion KRW) from 2024, marking the largest budget in the past three years.This reflects the government's commitment to expanding the adoption of electric and hydrogen-powered commercial vehicles, supporting infrastructure development, and incentivizing the industry to transition towards sustainability.   Read more, Click here.

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