South Korea Implements Emergency Measures to Aid Auto Industry Amid US Tariff Impact

【South Korea Announces Emergency Measures to Help the Auto Industry Cope with US Tariff Impact】On April 9, South Korea announced emergency support measures for the domestic auto industry to mitigate the impact of President Trump's tariff policy on the sector. The government will reduce the automobile purchase tax from the current 5% to 3.5% until June 2025 and increase the electric vehicle purchase subsidy from the current 20%-40% to 30%-80%, extending the deadline by six months to the

end of this year. To prevent liquidity issues, the government will increase the policy financing support amount for automakers in 2025 from the previously planned 13 trillion won to 15 trillion won.