The “Land of Morning Calm” is losing it calm post widespread scepticism being fuelled by the headline-grabbing EV car fires. This has been dubbed by the local media as “EV-phobia.”
South Korean Officials Demand Transparency from EV Makers Amid Surge in Battery Fires and Eroding Consumer Confidence
In response to such incidents, South Korean officials have urged car manufacturers to increase the transparency by disclosing their battery suppliers.
It was on August 1, that a Mercedes-Benz EV ignited in an underground parking facility in Incheon, which resulted in over 8 hours of firefighting efforts, which to 23 hospitalizations. This also caused damage to approximately 140 vehicles, and power and water outages affecting 1,600 homes for a week.
It was shortly thereafter that a Kia EV6 caught fire in South Chungcheong Province, with the blaze burning for over 90 minutes before being controlled.
Both the incidents are suspected to be arising from the vehicles’ batteries.
72 EV-related fires were reported by South Korea’s National Fire Agency in 2023, which is a significant increase from 24 in 2021. Among the 130 incidents over the past three years, 68 occurred while engines were running, 36 while parked, and 26 during charging.
Post this, the Chinese-made batteries are under the radar, and these were from Farasis Energy, which also includes the Mercedes-Benz Incheon fire. The consumer confidence in EVs has eroded due to the series of similar incidents.
EV Bookings and Popularity on Decline Despite Corrective Measures
As a response to tackle the confidence erosion, the automakers have started to disclose battery supplier information on their websites. Notably, this practice is already common in the EU but newly mandated in South Korea.
Mercedes-Benz Korea, initially criticized for its response, has since pledged 4.5 billion won ($3.4 million) in compensation and is considering additional financial support and potential recalls.
Despite these corrective measures, the market for EVs has declined in the country. Registrations have dropped 13.4% from January to July compared to the previous year.
Consumers like Lee Eun-koo and Park Jung-won express concern over EV safety, urging both manufacturers and the government to implement stricter regulations and ensure vehicle safety to restore trust and maintain the industry’s economic vitality.
