Korea vows 'close talks' with France after EV subsidies snub Korean cars

The Ministry of Trade, Industry and Energy has vowed to negotiate with the French government regarding the exclusion of domestically produced EVs from its new subsidy policy.

A charging facility for electric vehicles in Paris [YONHAP]

The Ministry of Trade, Industry and Energy has vowed to negotiate with the French government regarding the exclusion of domestically produced electric vehicle (EV) models from its new subsidy policy.

"The government, along with local companies, will proactively address the French EV subsidy issue based on unbiased data, and continue close talks with the French government," the Ministry of Trade, Industry and Energy announced in a statement released during its meeting with business officials on Friday.

The French government in December announced the list of EVs eligible to win subsidies, with mostly only European models making the cut.

Among Korean carmakers, Hyundai Motor's Kona SUVs were the only model on the list as they are produced in the Czech Republic.

The French scheme takes into consideration the amount of carbon emitted over the course of manufacturing. Thus, Kia's Niro EVs were excluded as models are made in Korea before being shipped to Europe.

The ministry added that the government will continue talks with its French counterpart in line with efforts to expedite the complaint process, which could last up to seven months.

BY SEO JI-EUN, YONHAP [seo.jieun1@joongang.co.kr]