The government will not reverse its recently announced rules governing the import of completely built-up electric vehicles (EVs), with the Investment, Trade and Industry Ministry (MITI) maintaining that the policy is necessary to build a competitive and sustainable local automotive industry.
In a written parliamentary reply, MITI said the measure is aligned with the National Automotive Policy, which seeks to ensure a comprehensive range of EV models in the market while strengthening local manufacturing, supply chains and high-skilled employment.
Responding to a question from Labis MP Pang Hok Liong on whether the government would withdraw the policy amid concerns it could make EVs less affordable, the ministry said it remains committed to balancing consumer interests with the long-term development of the domestic automotive sector.
MITI stressed that efforts to accelerate EV adoption remain intact, noting that locally assembled completely knocked-down EVs will continue to enjoy a 100% exemption on import duty, excise duty and sales tax until Dec 31, 2027. The incentives are aimed at keeping EV prices competitive while encouraging local assembly, technology transfer and vendor development.
