Policy Overview

Several policy measures to transition the road transport sector are currently under consideration in South Korea. In December 2021, President Moon Jae-in's government announced the Korea Zero Emissions Vehicles (ZEV) Dissemination policy, which includes provisions such as subsidies for ZEVs, charging infrastructure for ZEVs, and a gradual increase in production targets for ZEVs over internal combusition engine (ICE) vehicles.

During his election campaign in early 2022, the current President Yoon Suk-yeol pledged to set a target to phase out ICE vehicles by 2035. In June 2022, President Yoon’s government announced a policy agenda which confirmed a 2035 target for “ZEV vehicle transition” but did not explicitly commit to a date for phasing out ICE vehicles. In addition, the agenda included plans to subsidise charging costs for ZEVs, and tighten GHG emissions standards for small vehicles. In July 2022, the Ministry of Environment announced a target for supplying 2 million ZEVs within President Yoon’s term.

Evidence Profile

Key

opposing not supporting mixed/unclear
supporting strongly supporting

Policy Engagement Overview

The aggregated evidence of corporate and industry engagement with the electrification of transport and the phase-out of internal combustion engine (ICE) vehicles shows active and negative engagement from the automotive and petroleum industry associations, while cross-sector industry associations have taken broadly supporting positions.

Policy Engagement Trends

The automotive and petroleum industry associations are the most actively engaged with ZEV policy in Korea, and appear to broadly oppose policy measures for decarbonizing the road transport sector. Associations such as the Korea Automobile Manufacturers Association (KAMA) directly opposed the government’s ZEV policy and supports the continued role for ICE vehicles. The Korea Petroleum Association (KPA) also opposed the electrification of transport and regulations to phase out ICE vehicles.

South Korea’s major cross-sector industry associations have broadly supported the electrification of road transport, although they have not commented on the need for regulation to phase out ICE vehicles. The Korea Chamber of Commerce and Industry (KCCI) supported the expansion of electric and hydrogen vehicles, and requested government subsidies and support for Electric Vehicles (EV) charging infrastructure. The Federation of Korean Industries has also advocated for the government to provide policy support for South Korean automakers to produce EVs domestically and abroad.

South Korea’s largest automaker, Hyundai Motor, has remained largely silent on ZEV policy in South Korea, despite actively engaging in regulations in the United States and the European Union.

Evidence Profile

Key

opposing not supporting mixed/unclear
supporting strongly supporting

Live Lobbying Alerts

Federation of Korean Industries support South Korea's decarbonization of heavy-duty vehicles, power sector, wind and solar energy, and steel industry

14/08/2025

In a 23 July Business Community Proposal for Establishing Carbon Neutrality and Sustainability Policies, the Federation of Korean Industries (FKI) supported expanding government measures to decarbonize South Korea’s heavy-duty vehicle sector. FKI proposed expanding subsidies and charging infrastructure to promote the replacement of aging construction equipment with electric alternatives, and called for government support for mobile hydrogen refueling stations to accelerate hydrogen mobility adoption. FKI also supported government incentives to reduce emissions in South Korea’s steel industry. However, it was unclear whether FKI supported a full transition of the steel sector in line with IPCC recommendations.

In the same proposal, FKI supported measures to limit the negative biodiversity impacts of large-scale solar installations and emphasized the need for government intervention to expand solar and wind energy in South Korea’s energy mix. FKI noted that the country’s fossil fuel–reliant grid results in a high national average emission factor, placing domestic companies at a disadvantage under global carbon regulations. The proposal called for a full-system transition—across generation, transmission, and consumption—through measures such as expanding solar and wind power, decommissioning old coal plants, refurbishing nuclear facilities, hydrogen co-firing, and deploying electric boilers, heat pumps, EV charging management, and on-site generation.

Korea Battery Industry Association calls for effective electric vehicle production policy and emissions trading scheme to support the battery sector in South Korea

03/07/2025

During the 20 June Policy Direction Forum for Energy Transition, the Korea Battery Industry Association (KBIA) emphasized the urgent need for immediate and effective government support to strengthen South Korea’s battery sector, including the introduction of a mandatory electric vehicle production policy. In the Forum, KBIA also stated that existing demand-driving policies, such as the emissions trading scheme, lacked sufficient regulatory intensity to be effective, and called for stronger support measures to improve South Korea’s energy storage system (ESS) industry.

Korea Electric Vehicle Association supports policy to the electrification of transport in Korea

21/12/2023

In a December 14th Electric Power Journal article, Chairman of the Korea Electric Vehicles Association (KEVA), Kim Pil-su, appeared to support the electrification of transport, calling for the preparation of a roadmap strategy for the development of the electric vehicle (EV) industry and policies for the supply of EVs.

Korea Automobile & Mobility Association Chairman supports the Korean ‘Future Vehicles Special Act’

14/12/2023

In a December 11th press release, the chairman of the Korea Automobile & Mobility Association (KAMA), Kang Nam-hoon, supported the passage of the ‘Future Vehicles Special Act’ in the National Assembly, stating that it would be “practical help” for the future transition of the automobile parts industry and overall automobile industry in South Korea.

Korea Automobile & Mobility Association supports a transition to electric and eco-friendly vehicles

19/10/2023

In an October 17th interview with Segye Ilbo, the Chairman of the Korea Automobile & Mobility Association (KAMA), Kang Nam-hoon, called for government support for a transition to electric and eco-friendly vehicles, stating that this transition is a “major trend that cannot be reversed”.

Korea Automobile & Mobility Association supports the enactment of Future Vehicles Special Act

21/07/2023

As reported by DNews on July 17th, the Korea Automobile & Mobility Association (KAMA) stated support for the enactment of “Future Vehicles Special Act”, which would help automotive parts-making corporates in the transition to electric vehicles.

KAMA supports the enactment of ‘Future Vehicles Special Act’ in Korea

26/05/2023

In a May 17th article reported by Hankyung, the Korea Automobile & Mobility Association (KAMA) called for the enactment of the ‘Future Vehicles Special Act’, stating that it is necessary to “provide comprehensive and systematic support” for the electrification of Korean automotive parts companies.

Korea Automobile Manufacturers Association Chairman supported regulatory measures for electrification of transport

05/05/2023

In an interview with Etoday on the 28th April, the Chairman of the Korea Automobile Manufacturers Association (KAMA), Kang Nam-hoon, supported government support to create an environment for enabling EV production of foreign automotive corporates, including GM Korea and Renault Korea. He also supported the enactment of ‘Future Vehicles Special Act’ for electrification transition in automotive parts corporates.

The Korea Automobile Manufacturers Association supported policy for electrification of transport

21/04/2023

In a 6th April press release, the Korea Automobile Manufacturers Association (KAMA) supported enactment of Future Vehicles Special Act to establish EV support system including tax benefits for EV production facilities.

The Korea Automobile Manufacturers Association supported policy measures for electrification of transport

21/04/2023

In a 10th April interview with E-daily, the Korea Automobile Manufacturers Association (KAMA) supported electrification of transport, calling for enacting Future Vehicles Special Act and tax credits for investment in EV production facilities.

Korea Automobile Manufacturers Association strongly supports the electrification of Korean transportation

30/03/2023

In a 24th March interview with Yonhap News, the Chairman of the Korea Automobile Manufacturers Association (KAMA), Kang Nam-hoon, strongly supported the legislation of ‘Special Act on Future Vehicles’ which includes tax supports and expansion of electric and hydrogen vehicles production sites in South Korea. The Chairman also called for investments in transitioning ICE vehicle production sites to EV production sites.

Korea Automobile Manufacturers Association supported the supply expansion of zero-emissions vehicles to meet 2030 GHG target

10/03/2023

In a 2nd March press release, the Chairman of the Korea Automobile Manufacturers (KAMA) supported expanding the supply of electric and hydrogen vehicles to achieve the 2030 NDC GHG emissions reduction target in the transportation sector of South Korea, calling for policy measures and investment support from the South Korean government.

KAMA advocates to abolish the Korean Zero Emission Vehicle Policy

02/09/2022

In a 30th August op-ed article of E-Daily, the Chairman of Korea Automobiles Manufactuers Association (KAMA), Jung Man-ki, strongly advocated to abolish the Zero Emission Vehicle (ZEV) policy of South Korea, stating that it is a dual regulation, and it would “encourage electric vehicles imports and consequently disrupt our electric vehicle industry base.”

KAMA advocates to abolish GHG emissions regulation or EV sales system

18/05/2022

On the 10th May, the Korea Automobile Manufacturers Association (KAMA) advocated to abolish either the GHG emissions regulations or obligatory EVs sales system of South Korea, citing a double regulatory burden, at a meeting with the European Automobile Manufacturers Association (ACEA) in Brussels.

Korea Automobile Manufacturers Association opposes ICE vehicle regulation

29/09/2022

On April 5th, The Hankyoreh reported that Korea Automobile Manufacturers Association (KAMA) Chairman Jung Man-ki appeared to oppose the regulation of internal combustion engine (ICE) vehicle production, instead calling for more incentive-oriented government policies such as investments in electric vehicle charging infrastructure.

Entities Engaged on Policy

The table below lists the entities found to be most engaged with the policy. InfluenceMap tracks over 400 companies and 200 industry associations globally. Each entity name links to its full InfluenceMap profile, where the evidence of its engagement can be found.

Influencemap Performance BandOrganizationPolicy PositionPolicy Engagement Intensity