Hyundai Motor Co. and Kia Corp. “are enjoying” a renewed popularity of their LPG-powered light-duty trucks Porter and Bongo, as small business owners are turning to this fuel to benefit from state subsidies, according to local media. The Korean government grants up to 9 million won (USD 6,757) in subsidies for those who transition from diesel cars to LPG vehicles.

Industry sources have detailed that Hyundai Transys Co., a Hyundai Motor Group affiliate that produces automotive parts such as automatic transmissions for LPG-powered one-tonne trucks manufactured by Hyundai Motor and Kia, began extra work in mid-February beyond the usual 52 hours a week restriction.

“With sluggish sales of electric cars, demand for combustion engine vehicles is rising again. So, we are also busy producing transmissions. Demand is expected to rise at a faster pace in the latter half of this year given the economic slowdown,” said a Hyundai Transys spokesman.

As of 1^st February, buyers of the new Autogas Hyundai Porter must wait for four months to receive the vehicles they ordered, and up to three months for deliveries of the new LPG Kia Bongo, according to Hyundai Motor Group.

“Last month, half of new car purchase requests were for the Porter. Some customers, knowing they can’t buy a new car right away, are turning to the used car market to buy small trucks,” commented a Hyundai Motor dealer in Seoul.

Source: The Korea Economic Daily

13 March 2023