Zimbabwe Plans To Slash Import Duty On Evs To Boost Demand


(MENAFN- IANS) Harare, Nov 29 (IANS) Zimbabwean Finance Minister Mthuli Ncube proposed reducing import duty on electric vehicles (EVs) starting January 2025 to encourage the adoption of eco-friendly transportation.

Presenting the 2025 national budget in Parliament, Ncube revealed that the import duty on EVs will drop from 40 per cent to 25 per cent, Xinhua news agency reported.

"Cognizant of the need to promote the use of eco-friendly vehicles, which will result in reduced carbon emissions, I propose to reduce customs duty on electric motor vehicles, with effect from 1 January 2025," Ncube said.

He also proposed extending duty rebates for equipment used to establish solar-powered EV charging stations, provided they are imported by approved operators, to further incentivise EV adoption.

Highlighting the urgency of addressing climate change, Ncube emphasised the importance of innovative solutions leveraging natural resources to combat climate-related challenges.

The proposed policy change comes amid growing interest in EVs in Zimbabwe, with stakeholders calling for measures to make the shift to electric mobility more attractive.

As a producer of lithium -- a critical component in lithium-ion batteries used to power EVs -- Zimbabwe aims to achieve a 33 per cent market penetration of EVs by 2030.

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IANS

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