BYD Cars Philippinessupports the Electric Vehicle Association of the Philippines’ request to extend zero tariffs on electric vehicles and components through 2040. BYD Executive Director Bob Palanca told BusinessWorld that the company backs the proposal, which would continue tariff relief beyond the current policy horizon. The position comes as Philippine automakers and policymakers debate how to make electrified vehicles more accessible while building a domestic industry. It is support for a policy proposal, not confirmation that the extension has already been approved.
Executive Order No. 12, issued in 2023, reduced import duties on certain EVs, parts and components to zero for five years, or until 2028. BusinessWorld reported that earlier tariffs for the covered segment ranged from 5% to 30%. A 2024 expansion added more categories, including electric motorcycles, e-bikes, batteries, e-tricycles, quadricycles, hybrids, plug-in hybrids, battery-electric cars and trucks, and completely knocked-down EVs. The exact treatment depends on the vehicle or component classification and the applicable government rules for local buyers.
The government’s longer-term target is to make EVs half of the national vehicle fleet by 2040 and 60% by 2050, according to the Philippine Energy Plan. At the same time, officials are reviewing EVAP’s request while emphasizing domestic production. The Electric Vehicle Incentive Strategy is intended to give four manufacturers a fiscal package of up to P15 billion each to produce four-wheeled EVs locally. That creates a policy balancing act between cheaper imports today and manufacturing, jobs and supply-chain capacity in the Philippines.
BYD currently imports its Philippine vehicles from China through Ayala-controlled ACMobility, its official distributor. The company reported 28,399 sales through August, compared with 26,122 for the whole of 2025, even as it expects the broader automotive market to soften later this year. An extension of zero tariffs could influence retail pricing, model availability and competition, but it would not by itself solve charging, financing, maintenance or local-production challenges. The final decision remains with the Philippine government after its review of the industry proposal.
