PUTRAJAYA, February 23 – The Ministry of Finance (MOF) has clarified that reports suggesting a significant increase in vehicle prices by 2026 due to the full enforcement of the new excise duty regulations (P.U.(A) 402/2019) are inaccurate. The ministry stated that no final decision has been made regarding the implementation of the new tax structure.
MOF, in collaboration with the Ministry of Investment, Trade, and Industry (MITI) and automotive industry stakeholders, is still reviewing the vehicle valuation methodology to ensure a fair, consistent, and neutral taxation framework. The government remains committed to a transparent approach before making any changes to the excise duty structure.
