The automobile tariff, which seemed to have been settled, is once again emerging as an issue because a formal agreement has not been concluded. Additionally, the mobility industry is moving beyond its traditional manufacturing identity, with new concepts and participants appearing. This newsletter introduces the latest issues in the mobility industry.
IAA 2025 Held
Main themes are electric vehicles, Software-Defined Vehicles (SDVs), and AI integration
The "IAA (Internationale Automobil-Ausstellung) 2025," a global mobility show that provides a glimpse into the worldwide mobility industry, was held in Munich, Germany, for six days starting on September 9, 2025. This event, with a history of over 100 years, has transformed from a simple new car exhibition into a comprehensive trade show that presents a blueprint for mobility under the slogan, "It's All About Mobility." This year, the IAA highlighted the rapidly changing industrial ecosystem. The event featured not only traditional automakers like BMW and Volkswagen, but also major players from across the tech world, including Tesla, who is leading electric vehicle innovation, as well as semiconductor company NVIDIA, cloud service provider Amazon Web Services (AWS), and Google.
At this IAA, companies showcased specific technologies and products for the era of Software-Defined Vehicles (SDVs). Hyundai Motor Company unveiled the "Concept THREE," a small electric vehicle concept applying the "Art of Steel" design language, making its worldwide debut and revealing the company's intent to enter the European small EV market.
Other global companies were also active. Porsche showcased the new 911 and was the first to unveil its commercialized 11kW wireless charging system. Audi introduced the "Concept C" electric sports car concept, while Volkswagen presented a new EV lineup naming strategy along with the ID. Polo and ID. Polo GTI concepts.
In the SDV and AI era, software vulnerabilities and data breaches can threaten a company's existence. It is essential to establish a legal risk management system to prepare for these issues. Companies must also set up data collection, storage, use, and disposal processes that comply with the strict personal information protection regulations of various countries.
US-Korea Tariff Agreement Delay Puts Korea at a Tariff Disadvantage Against Japan
Tariff on Japanese-made cars to be 15% starting on the 16th
According to a trade agreement with Japan, the US Donald Trump administration has decided to lower the tariff on Japanese-made cars from 27.5% to 15%. In contrast, Korea is still subject to a 25% tariff as a final agreement on detailed matters in its trade agreement with the US has been delayed. Automobiles, which are Korea's number one export to the US, are subject to high tariffs under Section 232 of the Trade Expansion Act, which is expected to be a major blow to domestic auto companies like the Hyundai Motor Group that are competing in the US market.
Prior to the tariff reduction, Japan signed a Memorandum of Understanding (MOU) regarding its $550 billion investment in the U.S. It appears Korea will also need to follow this precedent and make a commitment regarding how it will pay the agreed-upon $350 billion investment in the U.S. in order for the 15% tariff to be applied. Without such a commitment, the 25% tariff rate will likely remain.
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LIN LLC has extensive experience in providing advisory and litigation services in the mobility industry, particularly in areas such as administrative regulations and patent and trade secret disputes related to motor vehicles. Our Mobility Team consists of attorneys and experts with a distinctive interest and passion for automobiles.
Should you wish to learn more about this newsletter or have any other inquiries, please do not hesitate to contact our firm’s Mobility Team:
Attorney Tae-Joon Bae (tjbae@law-lin.com, +82 10 8237 8123)
Attorney Min-Gu Kang (mgkang@law-lin.com, +82 10 3907 9217)
Attorney Ho-Yeon Kim (hykim@law-lin.com, +82 2 3477 6300)
Attorney Jung-Pil Oh (jpoh@law-lin.com, +82 2 3477 8695)