Policy for zero tariff for EVs awaiting President Marcos' signature
If you are waiting for a good reason to even consider buying an electric vehicle (EV), one could be on the way.
NEDA (National Economic Development Authority) Secretary Arsenio Balicasan has announced that there is a zero-tariff policy on the desk of President Bongbong Marcos, waiting for his signature.
The policy is supported by NEDA and it aims to make EVs more affordable to Filipinos, curb our appetite for fossil fuels, and promote the EV industry in the country.
“In particular, the EO will temporarily reduce the most favored nation (MFN) tariff rates to zero percent for five years on completely built-up (CBU) units of certain EVs, except for hybrid-type EVs,” said Balisacan.
As an added benefit, it will reduce vehicular pollution and counter climate change. The type of models affected by this policy are motorcycles, tricycles, scooters, passenger cars, vans, mini-buses, and trucks, including EV parts and components.
“We want to encourage the use of e-vehicles because that will address pollution issues and our adaptation to climate change and we believe that’s the future. But more importantly, we want to be part of the value chain globally in this drive to get to this new industry, new growth drivers and hopefully we develop our own industries and this reduction of tariff is part of that building up ecosystem,” added Balisacan.
If the policy is signed and implemented, a NEDA review will be conducted after one year to assess its effect on the economy and the EV industry. Currently, the tariff on EVs stands at between seven to five percent.
Should PBBM sign this policy, will you buy an EV?