Korean Electric Vehicle Chargers Near 2 Trillion Won in Overseas Orders... "Dependence on Chinese Power Modules Remains a Challenge"

QY Research Report

On June 27, 2023, visitors attending the '2023 World Battery & Charging Infrastructure Expo - 2023 World Solar Energy Expo' held at KINTEX in Goyang, Gyeonggi Province, are looking at electric vehicle chargers. Photo by Jinhyung Kang aymsdream@

More than 20 domestic electric vehicle (EV) charger companies in South Korea are fiercely competing for survival, with the top 10 companies' overseas order amounts approaching 2 trillion KRW. High dependence on China for the core component, power modules, has been identified as a challenge that needs to be addressed.

According to the "Korean EV Charger Manufacturer Competitiveness Report 2024" by market research firm QY Research on the 20th, the domestic EV charger market size in 2023 was 337.2 billion KRW, an 18% increase compared to the previous year. QY Research forecasts that the domestic EV charger market will grow at an average annual rate of 6.9%, reaching 540 billion KRW by 2030.

In the domestic EV charger market, more than 20 companies are competing intensely. Among them, SK Signet, Chaebi, EVsis, ModernTech, CleanElex, P&E Systems, Costel, HighBee Charger, Eva, and Hyundai Kefico are considered the major players.

QY Research explained that last year, SK Signet, Chaebi, and EVsis maintained the top three positions in the domestic charger market, with ModernTech ranking fourth. CleanElex and P&E Systems tied for fifth place.

Among them, ModernTech showed the most remarkable growth last year, with sales nearly doubling thanks to exports to the United States. The company has secured export contracts worth approximately 1 trillion KRW and is also promoting the construction of a joint factory in the U.S.

QY Research stated, "The biggest trend in the domestic EV charger industry last year was the full-scale expansion beyond the domestic market into overseas markets," adding, "The overseas order volume of the 10 surveyed companies approached 2 trillion KRW." SK Signet, EVsis, and HighBee Charger have established production bases locally in the U.S.

QY Research projects that the U.S. EV market size will reach 30 trillion KRW by 2030, and the global market will reach 190 trillion KRW. QY Research noted, "The core competitiveness of EV chargers lies in the power module sector, which still has a high dependence on Chinese products," explaining, "SK Signet has succeeded in internalizing production but quality uncertainties remain, while Chaebi and Hyundai Kefico are partially internalizing at this stage."