Driving Towards a Hydrogen-Powered Future: The Rise of Hydrogen Buses in South Korea
Key Ideas
  • Major Korean companies such as Samsung, SK, Hyundai Motor, and POSCO are accelerating the introduction of hydrogen buses due to their efficiency and long-distance capabilities.
  • SK Group is actively deploying hydrogen buses, with SK siltron and SK hynix leading the way in adopting hydrogen-powered vehicles for employee commuting.
  • The Korean government's ESG policies are pushing for the adoption of hydrogen buses as part of the effort to reduce greenhouse gas emissions and promote sustainable transportation.
  • While Chinese electric buses pose a competitive challenge with lower costs, the superior fuel efficiency and capacity of hydrogen buses like the Universe from Hyundai provide a promising alternative.
South Korea is witnessing a significant push towards hydrogen mobility, particularly in the realm of public transportation with the rise of hydrogen buses. Major Korean conglomerates like Samsung, SK, Hyundai Motor, and POSCO are spearheading the expansion of hydrogen buses citing their efficiency and ability to cover long distances on a single charge, ideal for commuters. SK Group, in particular, has made notable strides by introducing hydrogen buses for employee transportation and investing in a large hydrogen plant and refueling stations. The shift towards hydrogen buses is largely driven by Environmental, Social, and Governance (ESG) management policies, with companies seeking to reduce indirect greenhouse gas emissions from employee commuting and business operations. This aligns with the Korean government's initiatives to promote hydrogen mobility through subsidies and the goal of introducing 3 million hydrogen fuel cell electric vehicles by 2040. However, the market faces challenges from the influx of low-cost Chinese electric buses, which have captured a significant share in Korea. Despite the higher cost of hydrogen buses like the Universe compared to Chinese electric buses, their fuel efficiency and capacity present a compelling case for adoption. The article underscores the potential of hydrogen buses to revolutionize the transportation sector in Korea and contribute to sustainable development.
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