Price range 2023: EVs in Malaysia keep tax free till finish 2024; AP charges exempted – even cheaper EVs quickly?

The present import responsibility and excise responsibility exemption for electrical automobiles will probably be prolonged for an additional yr, as revealed by finance minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz through the tabling of Price range 2023.

Throughout final yr’s Price range tabling, it was introduced that EVs can be exempt from import and excise duties, with the exemption interval being as much as December 31, 2023 for fully-imported (CBU) EVs, and as much as December 31, 2025 for locally-assembled (CKD) EVs.

With Price range 2023, Zafrul mentioned the exemption for CBU EVs will probably be prolonged for an additional yr to December 31, 2024 – no point out was made about CKD EVs. In any case, that is certainly excellent news for automotive corporations right here who’re planning on bringing in EV fashions quickly in addition to automotive patrons on the lookout for a zero-emission automobile.

The Malaysian Automotive Affiliation (MAA) beforehand mentioned it wished the EV incentives to go on for 10 years, but it surely seems to be like they’ll need to accept one and see what comes subsequent in Price range 2024.

Automotive importers who need to usher in EVs may even be incentivised to take action as a result of they won’t have to pay the permitted allow (AP) charge. That is new and will doubtlessly make EVs even cheaper, offered corporations move the financial savings from not paying the AP charge on to prospects. The AP charge exemption will probably be in impact from January 1 to December 31, 2023, and once more, solely applies to EVs.

Tags: Price range 2023