Malaysia’s Ministry of Investment, Trade and Industry is exploring the most appropriate mechanism for a proposed Malaysia EV levy intended to support the construction of more public chargers nationwide, according to Bernama. MITI Minister Datuk Seri Johari Abdul Ghani said the government had not confirmed the levy would be imposed directly on the public.
Speaking at RHB Bank’s “RHB Progress Series 2026” conference, Johari said the ministry was still weighing the best approach, noting that costs imposed on manufacturers would likely be passed on to consumers. Key open questions remain the level of charges, how much they would amount to, and how long subsidies can continue.
Johari said the government had already provided extensive subsidies and must also fund charging infrastructure build-out, which involves the broader costs of electricity, gas, coal and other inputs. He said the government needed to weigh the bigger picture to ensure coexistence between electric and combustion-engine vehicles.
Malaysia remains reliant on gas and coal-fired electricity generation, meaning the EV charging infrastructure Malaysia ecosystem must account for electricity supply costs alongside the infrastructure itself. Johari noted the government is currently operating under a fiscal deficit, raising questions about how such investment would be funded.
One option under consideration is a levy on vehicle manufacturers, though Johari reiterated such costs would likely pass to consumers. This MITI EV levy proposal follows earlier remarks in parliament, where Johari said proceeds could fund a dedicated pool for public charging stations, noting Malaysia cannot rely solely on manufacturers or distributors.
Johari Abdul Ghani previously told Parliament that China had spent billions of dollars building EV charging infrastructure, but said Malaysia did not currently have the financial resources to undertake similar investment.
The proposed levy is part of Malaysia’s broader push to expand its EV charging network under national industrial policy. As of May 31, 2026, 6,416 public EV chargers had been installed nationwide, with the government targeting 30,000 by 2030, according to earlier MITI figures cited by Paul Tan’s Automotive News.
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No final decision on the structure or scale of the Malaysia EV policy levy had been announced as of the report. The government has not specified a timeline for finalising the mechanism, and further details on public EV charging infrastructure funding are expected as the ministry continues its review, according to Bernama.
News Source: Paul Tan’s Automotive News
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