Busan Metropolitan City is strengthening its electric vehicle distribution management system by flexibly adjusting supply volumes in response to surging EV demand. The move represents a preemptive response to ensure stable distribution amid growing concerns over early depletion of subsidies. The city announced on the 20th that it plans to operate this year's private EV distribution program with greater flexibility.
EV demand has been rising rapidly due to recent international oil price fluctuations and vehicle price reductions. EV applications reached 2,250 in March this year, approximately 2.7 times higher than the 835 applications recorded during the same period last year. Electric passenger vehicles accounted for 1,832 applications (up from 678 the previous year), while electric trucks totaled 418 applications (up from 157), showing balanced growth across all vehicle categories.
The city is pursuing a target of distributing 7,174 vehicles this year and anticipates possible early depletion of allocations for certain vehicle types. Accordingly, the city plans to continuously monitor distribution status and flexibly reallocate volumes based on demand by vehicle type.
Support measures to ease purchase burdens are also expanding. Through the "Busan Youth EV Dream" program targeting young people, additional subsidies of up to 2 million won will be provided to first-time vehicle buyers and young people starting careers or businesses. Participating manufacturers and importers including Hyundai Motor, Kia, and KG Mobility will provide an additional 500,000 won.
A "Regional Discount Program" will also run concurrently. Manufacturers and importers provide a 300,000 won discount, with the city adding another 300,000 won for total purchase benefits of 600,000 won. Five companies currently participate in the program: Hyundai Motor, Kia, KG Mobility, EVKMC, and Centro AK.
The city's policy aims to simultaneously expand EV distribution while easing the financial burden on residents. Lee Byeong-seok, Director of the Environmental and Water Policy Division, said, "It is important to closely manage and stably implement the distribution program in line with increasing EV demand. We will accelerate the transition to eco-friendly transportation through various support policies."