Battery Electric Vehicles - South Korea

South Korea

Highlights

The Battery Electric Vehicles market in South Korea is predicted to achieve a revenue of US$7.0bn by 2024.
This projection indicates an anticipated annual growth rate (CAGR 2024-2029) of 6.60%, resulting in a market volume of US$9.7bn by 2029.
The unit sales for Battery Electric Vehicles market in South Korea are expected to reach 165.30k vehicles in 2029.
In 2024, the volume weighted average price for Battery Electric Vehicles market in South Korea is estimated to be US$58.8k.
When considering the global market, it is noteworthy that China is projected to generate the highest revenue, reaching US$211bn in 2024.

"South Korea is emerging as a global leader in the Battery Electric Vehicle market, with a strong focus on technological innovation and government support."

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureMethodology

The Battery Electric Vehicles market in South Korea has been experiencing significant growth in recent years. Customer preferences for environmentally-friendly and fuel-efficient vehicles, along with government incentives and support, have contributed to the increasing demand for electric vehicles in the country.

Customer preferences in South Korea have shifted towards more sustainable transportation options, leading to a growing demand for Battery Electric Vehicles. Consumers are becoming more conscious of the environmental impact of traditional gasoline-powered vehicles and are seeking alternatives that produce fewer emissions. Additionally, the rising cost of fuel has motivated consumers to consider electric vehicles as a cost-effective option in the long run.

In response to these changing preferences, automakers have been introducing a wide range of electric vehicle models in the South Korean market. This has led to increased competition and innovation, resulting in improved technology and performance of electric vehicles. Consumers now have more options to choose from, making electric vehicles a viable alternative to traditional vehicles.

Government support and incentives have also played a crucial role in the growth of the Battery Electric Vehicles market in South Korea. The government has implemented various policies to promote the adoption of electric vehicles, such as tax incentives, subsidies, and charging infrastructure development. These measures have made electric vehicles more affordable and convenient for consumers, further driving the market growth.

The local special circumstances in South Korea have also contributed to the development of the Battery Electric Vehicles market. South Korea is home to major automotive manufacturers, including Hyundai and Kia, which have been investing heavily in electric vehicle production. The presence of these companies has not only boosted the supply of electric vehicles but has also instilled confidence in consumers regarding the reliability and quality of these vehicles.

Underlying macroeconomic factors, such as the global push for sustainable transportation and the advancement of technology, have also influenced the growth of the Battery Electric Vehicles market in South Korea. As the world becomes more focused on reducing carbon emissions and combating climate change, electric vehicles have emerged as a key solution. Technological advancements in battery technology and charging infrastructure have made electric vehicles more practical and convenient for everyday use.

In conclusion, the Battery Electric Vehicles market in South Korea is experiencing significant growth due to changing customer preferences, government support, local special circumstances, and underlying macroeconomic factors. As consumers become more environmentally conscious and seek cost-effective transportation options, the demand for electric vehicles is expected to continue rising. The ongoing efforts of automakers and government policies will further drive the development of the electric vehicle market in South Korea.

Data coverage:

The data encompasses B2C enterprises. Figures are based on the sales of new passenger cars. Data on the specifications of the sold vehicles is based on the base models of the respective makes.

Modeling approach:

Market sizes are determined through a bottom-up approach, building on specific predefined factors for each market segment. As a basis for evaluating markets, we use company reports and websites, vehicle registries, car dealers, and environment agencies among other sources. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP and car stock per capita. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, we use the ARIMA model for the Passenger Cars market. The main drivers are GDP per capita and consumer spending per capita.

Additional notes:

The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice a year. In some cases, the data is updated on an ad hoc basis (e.g., when new, relevant data has been released or significant changes within the market have an impact on the projected development).