Govt Not Planning To Reverse Decision New CBU EV Import Rules

KUALA LUMPUR, July 14 (Bernama) -- The government does not intend to reverse the recently announced new rules for importing completely built-up (CBU) electric vehicles (EVs), according to the Ministry of Investment, Trade and Industry (MITI).

MITI said the measure aligns with the goals of the National Automotive Policy (NAP), which aims to manage the entry of EV models to offer a complete product range in the market while ensuring the development of a competitive and sustainable local automotive industry.

“The government always takes a balanced approach between protecting consumers’ interests and developing the local automotive industry.

“Consumers have the right to enjoy affordable EVs, while the country needs a strong automotive industry to create high-skilled jobs, develop local vendors, attract quality investment and strengthen the domestic supply chain,” the ministry said in a written reply posted on the Parliament’s website today.

MITI was responding to a question from Pang Hok Liong (PH-Labis) on whether the government would withdraw MITI’s recent decision to raise EV prices, as it contradicts government policy to accelerate EV adoption among the public and consumers’ right to own affordable EVs (under RM100,000 or RM150,000).

According to the ministry, the government has not halted efforts to expand EV uptake; it will continue to provide a 100 per cent exemption from import duty, excise duty and sales tax for locally assembled completely knocked-down (CKD) EVs until Dec 31, 2027.

“This measure allows manufacturers to offer EV models at more competitive prices, while also encouraging local assembly activities, technology transfer and the development of local vendors,” it said.

MITI added that the government is also accelerating the development of the EV ecosystem by expanding the nationwide charging network.

“This approach is important because the public’s ability to own an EV depends not only on vehicle prices but also on the availability of easily accessible charging facilities.

“Experience from the internal combustion engine (ICE) vehicle industry shows that consumer uptake grows alongside the presence of a strong ecosystem, including support from more than 3,000 petrol stations across the country,” it said.

-- BERNAMA