KUALA LUMPUR, May 9 – Malaysia will implement stricter rules for fully imported electric vehicles (CBU EVs) beginning 1 July 2026.
Requiring all imported EVs to carry a minimum cost, insurance and freight (CIF) value of RM200,000 and deliver at least 180kW of power.
The new policy, announced by the Ministry of Investment, Trade and Industry (MITI), replaces the previous exemption framework that ended in December 2025.
Industry observers said the move will significantly increase the retail price of imported EVs after import duties, excise duties and sales tax are applied, pushing many models beyond RM300,000.
Existing stock already imported or currently in transit will still be allowed under the previous exemption terms until cleared.
The new requirements are expected to heavily impact mid-range imported EV brands, particularly Chinese automakers such as BYD, while leaving mainly premium models in the market.
Automotive reports indicated only a limited number of current BYD models may meet the updated threshold.
While Tesla models sold in Malaysia may also face price increases if manufacturers do not absorb additional costs.
The policy is seen as part of Malaysia’s broader effort to strengthen local automotive players including Proton and Perodua, both of which are expanding their EV offerings.
Proton’s e.MAS 5, currently among the country’s most popular EV models in 2026, is priced significantly below the new import threshold.
Highlighting the government’s push to support locally assembled and more affordable EV options.
