The government will require medium and heavy commercial vehicles to cut greenhouse gas emissions by 30% by 2030.
The Ministry of Climate, Energy and Environment said on the 14th it will issue an advance notice of legislation for 60 days starting on the 15th for a revision to the notice on vehicle greenhouse gas and fuel economy standards that automakers must meet from 2027 to 2030.
The revision would amend parts of the Guidelines on the application and management of average energy consumption efficiency standards and greenhouse gas standards for medium and heavy commercial vehicles and the Notice on average energy consumption efficiency standards for automobiles, permissible greenhouse gas emissions, and the application and management of those standards. It reflects the regulatory levels of major countries, including the European Union (EU), to meet the 2030 target emissions for the transport sector under the Nationally Determined Contributions (NDC).
Medium and heavy commercial vehicles have so far operated under voluntary reductions, but the system will shift to mandatory starting in 2027. Heavy trucks and tractors of 15 tons or more gross vehicle weight will be covered first in phase one, medium and large buses in phase two, and medium trucks under 15 tons and dump trucks in phase three. By 2030, greenhouse gas emissions must be reduced by 30% from the baseline year average (2021–2022).
Automakers that fail to meet the standards will face a penalty surcharge. The penalty surcharge will rise in stages from 500,000 won per 1 g·t·km of greenhouse gas in 2027 to 1.4 million won in 2030, and to 2.2 million won from 2031, when the mandate is fully in force. The sales credit bonus (super credit) for electric and hydrogen vehicles will be extended, and a new super credit will be created for hydrogen internal combustion vehicles.
Standards for small vehicles will also be adjusted. The 2030 greenhouse gas standard for passenger cars and buses with up to 10 seats will be tightened from the current 70 g/km to 54 g/km. Small trucks and buses with 11 to 15 seats will be lowered from 146 g/km to 98 g/km. This is the first update to small-vehicle standards since they were set in 2020.
Standards will also be subdivided by automaker sales scale. A new category for "mid-sized automakers" will be added to the existing three tiers of general, small-scale, and individual, creating four tiers. An indirect reduction method will also be piloted, allowing automakers that directly produce or use renewable energy at domestic business sites to deduct greenhouse gas emissions within a 5% limit of the annual standard.
The climate ministry plans to finalize and promulgate the revision after reviewing opinions submitted by Sept. 14.