While electric vehicles (EV) adoption in Malaysia has seen a significant rise recently, thanks to the government’s favourable EV tax policies and the recent boom in charging stations, it’s hard to ignore the fact that even the cheapest EV here on our shores, the Ora Good Cat, starts at RM139,800 – far from being “affordable” for the masses.
Recognising that, the government has now said that it’ll look into ways to bring more affordable EVs priced “less than RM100,000” into the local market, Bernama reports.
“Currently, most EVs entering our market cost RM100,000 or more, but we would also like to bring such vehicles to a wider market, in the price range of RM100,000 and below. We will look into how the government can work with automotive companies to achieve that,” said the Minister of Natural Resources, Environment, and Climate Change, Nik Nazmi Nik Ahmad, at the launch of a new EV charging station at the Bangi Golf Resort yesterday.
EVs in Malaysia currently enjoy a 100% rebate on road tax, as well as import and excise duties, as part of the 2022 national budget. The incentive is valid for imported EVs until the 31st of December 2023, while locally-assembled models will further benefit from its tax-free status until the end of 2025.
The recently tabled Budget 2023 sought to extend the former for one more year until the end of 2024, however it has not yet been passed due to the recent change in government.
At the launch of the BYD Atto 3 recently, the company also took the opportunity to show off the Dolphin on stage, hinting at a launch in Malaysia some time in the future. The compact EV hatchback starts from CNY93,800 in China, which translates to approximately RM59k. Will this be the first EV in Malaysia under the RM100k mark? only time will tell.