South Korean media: Chinese electric buses occupy half of South Korea's market, is it really because of the low price?
On November 7, the South Korean media "Herald Economic" published an article stating that Chinese electric buses have occupied more than half of the South Korean market. Particularly noteworthy is that the industry generally believes that South Korean domestic electric buses have obvious shortcomings in competitiveness and are difficult to effectively counter Chinese brands.
According to the Korean Automobile Mobility Industry Association (KAMA), the market share of Chinese electric buses rose from 37.8% (480 units) in 2021 to 54.6% (1,499 units) in 2023. In the same year, the sales of domestically produced South Korean electric buses were only 1,246 units. As of June this year, the cumulative registration of domestically produced South Korean electric buses was 7,547 units (59.5%), and the cumulative registration of imported electric buses was 5,136 units (40.5%), with a small gap.
It is believed that Chinese electric buses have eroded the South Korean market with their low prices and the same subsidies.
But can the current situation be simply explained by a "low-price offensive"? The quality issues of South Korean domestic electric buses have raised doubts. Hyundai Motor's "Elec City" double-decker bus has frequently received complaints about hub motor and battery cooling system failures. Even after replacing improved components, the faults continue to occur, and thousands of vehicles have been recalled due to insufficient durability of insulation parts. There are approximately 350 electric buses operating in the capital area, but there are only two repair centers in Gyeonggi-do that can repair these buses.
Elec City had previously experienced several quality issues, including fires and engine failures. For this reason, some transportation companies that had used Hyundai cars since the diesel and natural gas bus era have now been forced to turn to other manufacturers.
In general, the growth of the market share of Chinese electric buses seems to be more than just "cheap". It may be understood that Chinese products have filled the gap left by South Korean domestic electric buses. Due to defects and insufficient maintenance systems, South Korean domestic electric buses have lost their credibility. In addition, due to limitations in infrastructure and economic factors, the market share of hydrogen fuel cell buses is declining.
Original: www.toutiao.com/article/1848094524999692/
Statement: This article represents the views of the author.