- The Philippines extends its tax exemption for imported electric and hybrid vehicles, including electric motorcycles and e-bikes, until 2028.
- This initiative, initially implemented in 2023, aims to promote eco-friendly transportation and reduce carbon emissions.
- The policy reflects the government’s long-term commitment to sustainable transport, aligning with President Ferdinand Marcos Jr’s term.
The Philippines is continuing its tax exemptions for electric and hybrid vehicles
The Philippines has decided to extend its tax exemption for imported electric vehicles (EVs) until 2028. The exemption was introduced in 2022 and enacted in 2023 by President Ferdinand Marcos Jr. This duty-free policy aims to promote the adoption of EVs and reduce carbon emissions.
Under this extended regulation, electric cars are exempt from import duties. The scope now encompasses hybrid vehicles, electric motorcycles, and e-bikes. This expansion reflects the government’s commitment to incentivise eco-friendly vehicles across various transportation sectors. This comes shortly after the US has introduced a 100% tariff on imported EVs from China.
Arsenio Balisacan, Economic Planning Secretary, commented:
“By encouraging consumers to adopt EVs, we are promoting a cleaner, more resilient, and more environmentally friendly transportation alternative.”
The extension of the tax exemption until 2028 aligns with the conclusion of the current president’s term. This ensures continuity in the government’s sustainable transport initiatives.
This initiative holds promise for both consumers and the environment. By incorporating hybrid vehicles into the exemption, the government acknowledges the transitional nature of the automotive industry. Leaders in the UK and around the world have been calling on governments and international bodies to enact similar exemptions and incentives.
The Philippines’ extension of the tax exemption for EVs until 2028 represents a proactive step towards building a greener and more sustainable future for transportation in the country. It’s a sign of the country’s future trajectory. We need incentives and activations like these to propel every country towards emobility.
