Busan Launches Nation's First Regional Discount Program for Electric Vehicles

From the Second Half of the Year, Busan Citizens Can Receive a 500,000 Won Discount and an Additional 500,000 Won Subsidy from the City When Purchasing from Participating Manufacturers or Importers

Regional Discount Applications Can Be Submitted Together with the Ministry of Environment's Subsidy Application for Low-Emission Vehicles

Starting in the second half of this year, Busan City will implement the nation’s first-ever “regional discount system” for electric vehicles.

The electric vehicle regional discount system allows Busan citizens who purchase electric vehicles from manufacturers or importers participating in the program to receive a 500,000 KRW discount from the manufacturer or importer, with the city providing an additional 500,000 KRW purchase subsidy.

This initiative was established to improve Busan’s air quality by expanding the supply of electric vehicles, achieve carbon neutrality, and alleviate the financial burden on citizens.

A total of 1,000,000 KRW in additional support can be received on top of the existing purchase subsidy.

The manufacturers and importers participating in the electric vehicle regional discount system are: Hyundai Motor Company, GS Global, Iljin Jeonggong, and EVEKMC, totaling four companies.

These companies were selected through a public notice in June for recruiting participants in the regional discount system.

The vehicles eligible for the regional discount system can be checked at the dealerships of the respective manufacturers or importers.

Additionally, in light of the challenging economic conditions such as the economic downturn, the city will provide an extra 500,000 KRW purchase subsidy to taxi drivers and small business owners who purchase electric taxis or freight vehicles covered by the regional discount system.

With the additional 500,000 KRW purchase subsidy, recipients can receive a total of 1,500,000 KRW in support, combining the 1,000,000 KRW benefit from the regional discount system.

Applications for the regional discount system can be made through the Ministry of Environment’s low-emission vehicle purchase subsidy support system when applying for a purchase subsidy for eligible vehicles.

The city promotes the electric vehicle purchase subsidy support project in two phases, the first and second half of each year. In the second half of this year, subsidies will be provided for a total of 5,032 electric vehicles (3,029 passenger cars, 1,807 freight vehicles, and 196 buses), with a maximum subsidy of 9,500,000 KRW per passenger car and 15,000,000 KRW per freight vehicle.

The purchase subsidy amount varies depending on the recommended retail price of the purchased vehicle.

Lee Byungseok, Director of the Environmental Water Policy Office of the city, stated, “We expect that the electric vehicle regional discount system, the first of its kind in the nation, will ease the financial burden on citizens and contribute to Busan’s progress as a leading carbon-neutral city,” adding, “The city will continue to focus on expanding the supply of electric vehicles to protect Busan’s clear and pleasant skies.”

Busan City Hall.