Seven out of 10 drivers in South Korea would consider replacing their vehicle if fuel prices climb past 2,000 won per liter, and about eight in 10 of them would look at an eco-friendly model, according to a survey released on the 27th. The average retail gasoline price at filling stations nationwide was 1,862.5 won per liter in the third week of August, covering the 16th to the 20th.
The survey of 500 drivers across the country by K Car, a used-car platform that sells vehicles it owns directly, found that 72.0% would consider switching cars if fuel prices rise.
Asked how large an increase in fuel costs would prompt them to consider a switch, the largest group, 35.0%, cited a rise of 20% or more. Gasoline and hybrid owners most often named the 2,200-won-per-liter range as their trigger point, at 27.9%, while diesel owners most often cited the 2,000-won range, at 25.0%. Meaningful replacement demand emerges not from short-lived price spikes but when high fuel prices persist for at least six months, the survey found.
Electric vehicles ranked first among preferred fuel types for a next car at 39.2%, followed by hybrids at 36.8%. Combined, preference for eco-friendly vehicles reached 76.0%, suggesting that fuel costs are a key driver accelerating the shift toward greener mobility. Preference for internal combustion models stayed in the single digits: gasoline at 6.2%, LPG at 2.0% and diesel at 1.8%.
Some 83.8% of respondents said they were willing to pay more for an eco-friendly vehicle than for an internal combustion model, and 43.8% said they could pay at least 5 million won extra. Currently, 72.0% of drivers spend between 100,000 won and 300,000 won a month on fuel.
To ease their immediate fuel burden, respondents pointed to using discount cards and cheaper filling stations at 50.8%, cutting unnecessary driving at 37.4% and walking or cycling at 31.6%, in a question allowing multiple answers. "Drivers respond to short-term price swings by driving less or seeking discounts, but when high prices drag on, there is a clear tendency to move in earnest toward eco-friendly vehicles," K Car President Jung In-guk said.
Electric Vehicles Gain Ground Fast
Consumers are indeed turning to eco-friendly vehicles as fuel prices surged this year amid the war between the United States and Iran. Domestic electric vehicle sales reached 198,509 units in the first half of this year, up 113.6% from a year earlier, according to the Korea Automobile & Mobility Association and new-vehicle registration data from the Ministry of Land, Infrastructure and Transport. Electric vehicles accounted for 23.3% of the 850,636 vehicles newly registered in the first half.
Hybrids sold 289,814 units, holding a 34.1% share of total vehicle sales and remaining the largest segment of the eco-friendly market. Hybrids still outsell electric vehicles, but what stands out is how quickly demand for electric vehicles is expanding after trailing hybrids by a wide margin through last year. Some in the market read the shift as a sign that the electric vehicle chasm, a temporary lull in demand, is drawing to a close.
