The Malaysian government is not planning to extend the road tax exemption for electric vehicles after 31 December 2025. This was revealed by the Minister of Trade, In, Tengku Zafrul Aziz in a written parliamentary reply to the MP of Tebrau, Jimmy Puah on 25 February.
Meant to help increase the adoption of EVs in Malaysia, the road tax exemption was first announced during the tabling of Budget 2022 in October 2021. It was then subsequently implemented on 1 January 2022.
Meanwhile, the Ministry of Transport revealed the new road tax structure for EVs last June. Under the new implementation, the new road tax fee for EVs is much lower than the old structure which was put in place back in 2009.
How much road tax that EV owners have to pay from 2026 onwards?
When we said lower, how much lower it would be? Let’s use the power output of Proton e.MAS 7 Premium which is 160kW (215hp) for this calculation.
Under the old scheme, the road tax for e.MAS 7 Premium would be much higher at RM1,294 per year. With the new structure, the actual road tax that e.MAS 7 Premium owners have to pay starting 2026 is only RM180 per year.
Let’s use another EV as an example: the Mercedes-Maybach EQS 680 SUV which has just been launched yesterday. With a power output of 484kW, the road tax for this luxury EV is RM1,840 per year.
That figure may seem hefty but it is nothing when compared to what the owner has to pay under the old calculations which standard at RM10,042 per year. You can use our EV road tax calculator to find out the amount of road tax that you have to pay for your EV starting in 2026:
Terima kasih, Hanif Azrai. 😀
While the plan not to extend the exemption was only revealed this week, industry players have already asking for an extension for quite some time. Back in October, the Malaysian Automotive Association requested the government to extend the initiative further and also allow the road tax exemption to be made available for hybrid vehicle owners.
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