Korean automakers stumped by Euro 5

Korean carmakers are worried ahead of the implementation of stricter emissions standards in the European Union (EU) next year. Industry analysts say there are currently only four Korean diesel cars that meet the Euro 5 criteria. Korean-made cars running on gasoline mostly do meet the regulations, but they do not help boost car exports to Europe, where diesel vehicles account for 40-50% of all vehicles. In France, the proportion is 70%. Korean carmakers’ overseas plants produce only about one or two diesel models that meet Euro 5 standards, and they are not subject to tariff incentives under the FTA. (October 24, 2010)