A car rental service that North Korea is testing in Pyongyang’s Hwasong district has been well-received by both business owners and young people. Young people see car rental as an exciting new experience, since even people without their own car can spend a romantic day driving around.
A Pyongyang source told Daily NK recently that the car rental service has been popular with local residents. Business owners are particularly pleased that the service is available whenever something urgent comes up, at any time of day or night.
Rental cars are in high demand among businesspeople for whom time is money, such as wholesalers who often rush to transport goods from the border to markets across the country.
“Car rental is popular with wholesalers because it saves time and helps them maintain their image,” the source noted.
A new trend for young people in the capital city
The service has also caught on with Pyongyang’s youth. The trendy thing to do on holidays and special occasions is to take your girlfriend for a drive in a car rented by a friend who has a license.
“It’s exciting just to drive around for the day, like you have your own car,” one young person said enthusiastically.
“People used to hire taxis for dates, but now rental cars are filling that role. You can park your rental in front of a restaurant or park. A new culture is emerging where guys drop off their girlfriends in front of their apartments late at night after long dates,” the source explained.
This trend has motivated young Pyongyang residents to get driver’s licenses. “Young people want licenses so they can rent cars. They’re eager to experience the ‘driving lifestyle,’ even if just for a day,” the source said.
During Kim Jong Il’s rule and early in Kim Jong Un’s tenure, getting a motorcycle license was the popular thing to do. But now there’s growing demand for full car licenses, the source explained. This seems to be a clear example of how government policy influences cultural trends and changes people’s spending habits and lifestyles.
North Korea is reportedly working to meet the unexpectedly high demand for car rentals. For instance, there are plans to import vehicles from various countries — including China, Germany, and Japan — for the rental business, regardless of their origin.
The government has also begun securing land for large parking lots to prepare for increased future demand.
The Ministry of State Security, which runs the car rental business through the Amisan Automotive Technology Service Center (formerly the Hwasong Vehicle Maintenance Center), is coordinating these efforts with the Cabinet and the Workers’ Party’s Economic Department.
The government’s long-term goal is to create a comprehensive system of repairs, rentals, and sales at these service centers. According to the source, the regime views car rental not just as a service, but as a way to generate foreign currency independently.
Still out of reach for most people
However, the current rental fee of $100 per day remains out of reach for most North Koreans.
The source quoted a local resident saying that “poorer people don’t even think about” renting a car.
The government will decide whether to expand car rental beyond Pyongyang after monitoring the pilot program over the next few years.
But several challenges need to be addressed first, including limited power and fuel supplies and inadequate systems for vehicle registration, distribution, and repairs.
