South Korea's EV Surge Boosts Tesla Sales and Used‑Car Premiums

In the first half of 2023, South Korea’s auto market saw internal‑combustion vehicle registrations fall 17.4% to 368,003 units, while hybrid sales slipped 2.9% to 218,350. Electric vehicles, by contrast, jumped 112.5% to 176,570, offsetting much of the decline in conventional models. The growth was concentrated in the 40‑50 million‑won price segment, where EVs accounted for 51.2% of total electric sales. Tesla led this segment, selling 34,798 units, primarily Model 3 and Model Y, driving the rapid market shift toward mainstream EV adoption.

Tesla’s strong position also influenced the used‑car market. While most brands saw price drops of 4‑7% year‑to‑date, Tesla’s used‑car prices fell only 3%, remaining relatively stable. The introduction of the Full‑Self‑Driving (FSD) V14 Light software on older U.S.-produced Model 3 and Model Y vehicles added a premium, with some used cars priced higher than new imports. Dealers noted that 2021‑2022 Model Y units sometimes sell for more than newer 2024‑2025 models, highlighting the premium attached to the FSD feature.