On November 24, the National Economic and Development Authority (NEDA) Board approved an executive order that reduces the Philippines‘ tariffs on electric vehicles to zero percent, according to Rappler.
Scope of the tariff reductionsThe newly implemented regulation is set to expire in five years. It covers passenger vehicles, buses, minibusses, vans, trucks, motorcycles, tricycles, scooters, and bicycles, along with their parts and components.GoalThe executive order is expected to promote the shift to electric vehicles in the Philippines.Socioeconomic Planning Secretary Arsenio Balisacan explained that the EO intends to broaden market sources, encourage consumers to shift to EVs, and lessen reliance on foreign fuel.
Scope of the tariff reductions
The newly implemented regulation is set to expire in five years. It covers passenger vehicles, buses, minibusses, vans, trucks, motorcycles, tricycles, scooters, and bicycles, along with their parts and components.
That said, no amendments will be made to the present hybrid vehicle tariff rates. It is also worth noting that import taxes are currently between 5% and 7%.
Goal
The executive order is expected to promote the shift to electric vehicles in the Philippines.
Socioeconomic Planning Secretary Arsenio Balisacan explained that the EO intends to broaden market sources, encourage consumers to shift to EVs, and lessen reliance on foreign fuel.
That said, the NEDA Board aims to evaluate its effectiveness a year after implementing the tariff revision.
In the Philippines, electric vehicle prices range from $21,000 to $49,000. In contrast, conventional vehicles only cost between $19,000 and $26,000.
