Future cars as a future growth engine in Korea
- 5 years ago
정부, 미래차 육성 이유...성공조건은?
Along with non-memory chips and bio and health, the Moon administration pointed to future cars as one of the nation's top three future growth engines.
For more on what this industry is all about and what it can offer to the auto sector, let's turn to our Kim Hye sung.
South Korea's top automaker, Hyundai Motor, is betting on hydrogen cars, with plans to increase its production from 25-hundred units this year to more than 10-thousand by next year.
The eco-friendly cars combine hydrogen with air in a fuel cell, which produces electricity and water as a byproduct.
"Environmental regulation is strengthening due to global warming and fine dust pollution, so the market for non-emission cars like hydrogen electric cars will grow. We have been leading the development of hydrogen fuel cells since 1998 and we are now working on improving cost-efficiency as the platinum used as material for the fuel cells is expensive."
Currently hydrogen-powered cars are priced at more than 60-thousand U.S. dollars, half of which is covered by government subsidies.
To drive down production costs by increasing the scale of manufacturing , the government announced plans in January to work with the private sector to increase production to six million by 2040, which will include hydrogen taxis and public buses.
"To help provide the infrastructure needed to boost the use of hydrogen powered cars, the government has vowed to increase the number of hydrogen fueling stations across the country. "
Hydrogen cars are just one example of future cars.
The Moon administration is also set to announce a comprehensive plan to nurture driverless cars and smart cars like models with 5G and AI-based infotainment systems.
Korea's auto industry is key to the local economy, accounting for about 13 percent of the country's manufacturing production, not to mention employing 350-thousand people.
But sales and exports have fallen in recent years.
"Amid fiercer global competition and slowing demand, local automakers' competitiveness has weakened. Companies need to find new growth in eco-friendly cars and electric cars, which are now the global trend."
The initial stages of boosting the market require a lot of investment and government support like tax-benefits and infrastructure-building play an important role.
Efficient use of money, detailed plan and policy consistency will be key to the success of this sector.
Kim Hyesung, Arirang News.
Along with non-memory chips and bio and health, the Moon administration pointed to future cars as one of the nation's top three future growth engines.
For more on what this industry is all about and what it can offer to the auto sector, let's turn to our Kim Hye sung.
South Korea's top automaker, Hyundai Motor, is betting on hydrogen cars, with plans to increase its production from 25-hundred units this year to more than 10-thousand by next year.
The eco-friendly cars combine hydrogen with air in a fuel cell, which produces electricity and water as a byproduct.
"Environmental regulation is strengthening due to global warming and fine dust pollution, so the market for non-emission cars like hydrogen electric cars will grow. We have been leading the development of hydrogen fuel cells since 1998 and we are now working on improving cost-efficiency as the platinum used as material for the fuel cells is expensive."
Currently hydrogen-powered cars are priced at more than 60-thousand U.S. dollars, half of which is covered by government subsidies.
To drive down production costs by increasing the scale of manufacturing , the government announced plans in January to work with the private sector to increase production to six million by 2040, which will include hydrogen taxis and public buses.
"To help provide the infrastructure needed to boost the use of hydrogen powered cars, the government has vowed to increase the number of hydrogen fueling stations across the country. "
Hydrogen cars are just one example of future cars.
The Moon administration is also set to announce a comprehensive plan to nurture driverless cars and smart cars like models with 5G and AI-based infotainment systems.
Korea's auto industry is key to the local economy, accounting for about 13 percent of the country's manufacturing production, not to mention employing 350-thousand people.
But sales and exports have fallen in recent years.
"Amid fiercer global competition and slowing demand, local automakers' competitiveness has weakened. Companies need to find new growth in eco-friendly cars and electric cars, which are now the global trend."
The initial stages of boosting the market require a lot of investment and government support like tax-benefits and infrastructure-building play an important role.
Efficient use of money, detailed plan and policy consistency will be key to the success of this sector.
Kim Hyesung, Arirang News.