▲ New vehicle registrations by power source in 2022 (Image source: Korea Automobile Manufacturers Association)

Market share: Electric vehicles 26.7% · Diesel vehicles 19.8%
Domestic sales of EV, FCEV, and HEV up 28.7% year-on-year

Domestic sales of electric vehicles in 2022 increased by 28.7% compared to the previous year, surpassing diesel vehicle sales for the first time.

The Korea Automobile Manufacturers Association (KAMA) released the 'Analysis of New Vehicle Registrations in 2022' report on the 9th.

According to the report, electric vehicles, including hybrids (including plug-in and mild HEVs) and electric vehicles, continued their high growth trend with 448,000 units sold, an increase of 28.7% compared to the previous year, accounting for a 26.7% market share.

In particular, electric vehicle sales increased by 63.7% to 164,000 units, bringing the market share close to 10% (9.8%), and hybrid vehicle sales reached 274,000 units, accounting for a 16.3% share.

On the other hand, 333,000 diesel vehicles were sold, a 19.8% decrease from the previous year, and the contraction of the internal combustion engine vehicle market intensified, with sales being overtaken by electric vehicles for the first time.

The market share of diesel vehicles has shrunk to less than half over the past five years, from 43.4% (2018) to 19.8% (2022). This can be attributed to the recent expansion of the transition to electric vehicles not only in passenger cars but also in commercial vehicles.

automaticThe number of new car registrations decreased by 2.9% from 1.73 million in 2021 to 1.68 million in 2022, while the acquisition value increased by 5.7% from 69.6 trillion won to 73.6 trillion won.

In terms of sales volume, both domestic and imported cars decreased (-3.7%) or remained at the same level as the previous year (+0.5%) due to the impact of delivery disruptions, but in terms of acquisition value, both domestic and imported cars increased by 3.9% and 9.5%, respectively, compared to the previous year.

Sales of imported cars increased by 0.5% year-on-year to 311,000 units, driven by German luxury brands and Chinese electric vehicles.

In particular, imported cars from China increased (+603.5%), centered on electric vehicles, and with the addition of electric commercial vehicles and electric passenger car models from European brands, sales increased by 154.5% compared to the previous year, surpassing 10,000 units (12,000 units) for the first time.

KAMA Chairman Kang Nam-hoon stated, “As the transition to electric vehicles accelerates, there are concerns about the shrinking of the domestic industrial base, particularly in electric commercial vehicles, as the share of domestic products has stagnated while the share of Chinese products is rapidly increasing.” He emphasized, “The enactment of a special act on future vehicles is urgent to revitalize investment in electric vehicles, such as by expanding tax credits for electric vehicle production facilities, and to facilitate the smooth business transition of the automotive industry.”