KUALA LUMPUR, March 11 — Several electric vehicle (EV) companies from China such as Zeekr, XPeng and MG Motor have planned to start local assembly activities in 2026 following the expiration of the tax relaxation and incentives for imported completely built-up (CBU) EVs.

According to the Ministry of Investment, Trade and Industry (Miti), the plan takes into account the full tax exemption that still applies to locally assembled EVs until Dec 31, 2027.

Meanwhile, the ministry said the end of the RM100,000 floor price relaxation period to the original RM250,000 structure was appropriate to ensure a clearer transition from CBU imports to local assembly and that investments made by national companies and local vendors could be protected.

“In addition, the domestic EV ecosystem will continue to grow sustainably, and high-skilled job opportunities in the country can be created and preserved,” the ministry said in a reply posted on the parliament website today.

Miti was replying to a question from Senator Datuk Mustafa Musa on the floor price determination of CBU EV cars and the investment of Chinese EV companies investing in the CBU market in Malaysia. — Bernama

 Malay Mail – Malaysia