S. Korea to produce indigenous plug-in hybrid cars in 5 years

By Lee Joon-seung
SEOUL, Nov. 26 (Yonhap) -- South Korea aims to produce indigenous plug-in hybrid
electric vehicles (PHEV) in five years that can operate on batteries charged at
home, government officials said Wednesday.

The Ministry of Knowledge Economy said Hyundai Motor Co. reached a deal with
three local automotive components manufacturers to develop two types of batteries
to be used in future vehicles.
PHEVs have characteristics of both hybrid electric and fully battery-powered
vehicles, but incorporate a system that allows them to be plugged into regular
electric sockets at home or alongside roads.
The cars have both combustion engines and batteries, improving mileage far beyond
what is possible for conventional cars.
The ministry said the competitive contracts between the country's largest
carmaker and the three firms -- LG Chem, SK Energy Co. and SB LiMotive -- call
for the development of two types of PHEV power units. They are to run for 16 and
32 kilometers before converting to conventional fossil fuel.
LG and SK plan to make the 16-km battery, and SB LiMotove and LG will make the
32-km type.
In the case of the shorter-range unit, Hyundai plans to select the company that
has made the most efficient battery after three years and award it with
development funds over two more years to produce a battery to be used in its cars
from 2013.
For the 32-km version, LG and SB Limotive will carry out research and development
for the next five years.
Seoul has said that it wants to transform South Korea into one of the top four
clean automaking countries, and has injected research and development funds into
the key project.
The car industry as a whole is working to reduce pollution, with the European
Union moving to limit CO2 emission to 130 grams per km from 2012. Cars that fail
to meet this standard will be levied fees of 20-95 euros.
Similar measures are already in place in the U.S., with California making it
mandatory for its carmakers who sell their products in the state to produce a
certain percentage of zero-emission electric vehicles.
Leading car industry forecasts indicate that starting in 2010, hybrid cars will
start replacing conventional cars on the market, with complete changeover taking
place in 2035. In 2004, 160,000 hybrid vehicles were sold worldwide, with numbers
reaching 520,000 last year. Sales of hybrid vehicles are expected to top 2.19
million in 2012 and 50 million by 2025.
yonngong@yna.co.kr
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