The Ministry of Climate, Energy, and Environment (Minister Kim Seong-hwan) announced on November 26th that it has signed a memorandum of understanding (MOU) for the ‘Strengthening Automotive Greenhouse Gas Life Cycle Assessment (LCA) Capacity and Carbon Neutrality Cooperation’ with the domestic automotive industry at the Automobile Center in Seocho-gu, Seoul.
The agreement includes the participation of five car manufacturers: Hyundai Motor, Kia, Korea GM, Renault Korea, and KG Mobility, as well as 16 component companies such as HL Mando, HL Klemove, Seo-Han Innovility, Hansae Mobility, and SL Mirrortech. The Korea Automobile Mobility Industry Association and the Korea Automobile Manufacturers Cooperative were also involved.
The Life Cycle Assessment (LCA) is a system for measuring and managing the greenhouse gas emissions that occur throughout the entire life cycle of a vehicle—from raw material extraction, parts manufacturing, and vehicle production to its operation and disposal. This agreement was prepared to respond to the trend of LCA system adoption led by the European Union (EU) and to strengthen the carbon competitiveness of the domestic automotive industry.
The World Forum for Harmonization of Vehicle Regulations (WP.29) is currently developing a method for automotive lifecycle assessment, targeting international standard adoption early next year. The EU will introduce a voluntary reporting system for the full lifecycle greenhouse gas emissions of vehicles starting in June 2026.
Since June 2023, the Ministry of Climate, Energy, and Environment has been sharing international trends and gathering industry opinions through automotive lifecycle assessment forums. Additionally, from this year, it is operating a support project for small and medium-sized parts companies, providing services such as greenhouse gas assessment and verification, reduction consulting, and hands-on training.
The main contents of this agreement include ▲ Developing and promoting international harmonization of automotive LCA methods ▲ Establishing a framework for calculating, verifying, and managing carbon emissions data ▲ Activating the support projects for small and medium-sized component companies ▲ Diagnosing high-emission areas for reduction analysis per process ▲ Supporting the response to international regulations.
At the ‘Automotive Life Cycle Assessment Forum’ held subsequently to the agreement ceremony, commendations from the Minister of Climate, Energy, and Environment were awarded to those who contributed to the field. The awardees were Jongguk Lee, an executive director at Hyundai Motor, Daeyeol Kim, a senior researcher at HL Mando, and Joohee Kim, a manager at Incheon International Airport Corporation.
The second session shared industry developments such as international trends in automotive greenhouse gas lifecycle assessment, the status of support projects for parts companies, guidelines for calculating component carbon footprints, and the development of verification manuals.
Vice Minister Keum Han-Seung of the Ministry of Climate, Energy, and Environment stated, “This juncture is a significant moment where the international automotive industry is being reshaped with a focus on carbon efficiency,” and assured, “We will thoroughly prepare by collaborating closely with the industry to establish an institutional and technical foundation early and ensure that the lifecycle assessment system can work smoothly on-site.”
