Gov't promises more money for green auto research

Hyundai Motor's EV Ioniq5. [YONHAP]

The government is promising 118.9 billion won ($99 million) for research into environment-friendly vehicles and autonomous driving technology this year.

Some 146 projects will be funded, according to the Ministry of Trade, Industry and Energy Wednesday, and 93.3 billion won or nearly 80 percent will involve the development of environment-friendly vehicles, including 9 billion won for hydrogen-fueled vehicles.

Through the 25.9 billion won allocated to autonomous vehicles, the government plans to achieve level 4 technology, one level below full autonomous driving in which human input is excluded.

The government stressed the need to develop environment-friendly vehicles as global environment regulations get stricter.

Major markets for Korean vehicles have been intensifying environment regulations to cut carbon emissions.

The European Union plans to propose a more stringent Euro 7 vehicle standards in April and has announced a ban on fossil-fuel vehicles starting in 2035.

Last year, Korea exported 2.05 million automobiles, up 8.6 percent by unit value. By value, Korea's car exports surged 24.2 percent to $46.5 billion. Both increases were the highest in nine years.

The ministry noted the increase in sales of environmentally friendly cars, 20.7 percent of the total, a sharp increase from 14.9 percent in 2020.

By value, they accounted for 25 percent of the total, up from 19.1 percent in 2020.

BY LEE HO-JEONG [lee.hojeong@joongang.co.kr]