South Korea’s electric vehicle (EV) ecosystem is facing a crisis as high costs, inadequate infrastructure, and safety concerns dampen consumer demand. The recent fire involving a Mercedes-Benz electric vehicle in Cheongna on Aug. 1 has heightened public anxiety, exacerbating the global slowdown in EV adoption amid economic downturns.
Despite these challenges, experts assert that EVs remain the “inevitable future.” This perspective is reinforced by international commitments to reduce carbon emissions following the 2016 Paris Agreement. By 2032, more than 56% of new car sales in the U.S. are required to be electric, according to regulatory mandates.
Tesla, the leader in the global EV market, introduced its first model in 2006. However, the industry still faces significant challenges, including inadequate fire suppression systems. Experts argue that now is the time for bold investment and innovation to secure leadership in the transition from internal combustion engines to electric vehicles.
According to industry data, South Korea’s EV market, driven by 13 key companies, grew to an estimated 120 trillion won in revenue last year. However, the growing fear surrounding the domestic EV market could erode its competitive edge. A strong domestic market is crucial for companies to overcome uncertainties in global competition.
Critics have also targeted the government’s response to safety concerns. “After the Cheongna fire, measures like limiting the State of Charge or recommending ground-level parking have only increased anxiety,” one expert noted. “While addressing public concerns is essential, the government must also provide a clear direction for the future development of this industry.”
