Review order that amends tariff rates for EVs - group

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A Palace directive released in January that amends the tax incentives for electric vehicles (EVs) 'lacks inclusivity' and should therefore be reviewed, an environmental business group said.

Philippine Business for Environmental Stewardship Secretary General Felix Jose Vitangcol said that Executive Order No. 12 completely excluded e-motorcycles from the list of EVs which received zero percent import duties.EO 12 modified the tariff rates ranging from five to thirty percent for certain EVs by temporarily reducing them to zero percent to help the country adapt to e-vehicle usage and decrease carbon emissions.

Only kick scooters, self-balancing cycles, e-bicycles, and pocket motorcycles with auxiliary motors not exceeding 250w and with a maximum speed of 25 kilometers per hour have zero percent import duties under the EO, while e-motorcycles are still subject to a 30 percent tariff rate.Vitangcol said that the majority of motorists use two or three-wheeled vehicles. He cited data issued by the Land Transportation Office that almost 8 million units of motorcycles were registered in 2021.

 

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