KUALA LUMPUR, Oct 29 -- Automotive industry players have applauded the focus on Malaysia’s journey towards being a carbon neutral country by the year 2050, as announced in Budget 2022, specifically on the potential of electric vehicles (EVs) towards achieving the goal.
The adoption of EVs will be fast-tracked with the government’s support in providing a full exemption on import duties, excise duties and sales tax for EVs, as well as road tax exemption of up to 100 percent for these vehicles, said SOCAR head of regulatory affairs Wan Md Hazlin Agyl Wan Hassan.
“We are happy that one of our wishes was considered in the proposal and we hope for it to be approved by Parliament," he said in a statement today.
SOCAR also welcomes the individual income tax relief of up to RM2,500 given to tax payers for the purchase and installation or alternatively the rental and hire purchase of facilities, as well as for paying subscription fees for EV charging facilities.
"This first step will improve EV acceptance and expand the ecosystem of EV-adjacent industries in Malaysia.
“With the Voluntary Carbon Market scheduled to be launched by Bursa Malaysia, we believe this will further encourage green asset owners to expand their low-carbon practices," he added.
In another statement, BMW Group Malaysia said the Budget 2022 announcements marked a welcome step towards electrified mobility, one that has long been in the making for Malaysia.
"We celebrate with Malaysia on the latest announcement of full exemptions on import duties, excise duties, and sales tax for EV which will not only increase uptake but encourage further development of the EV infrastructure and ecosystem to drive smarter and enabling low carbon communities and cities in the country," said managing director Hans de Visser.