At the workshop “Reducing emissions in the automobile industry: Many paths - One destination” organized by Dau Tu Newspaper on August 29, the Institute for Strategy and Policy Research on Industry and Trade (Ministry of Industry and Trade) said that to popularize electric vehicles in Vietnam, vehicle price is a problem that manufacturers need to consider.
Electric vehicles are developing strongly in many countries, especially in China, Europe, and the US. With technological changes, the cost of producing electric vehicles has decreased significantly compared to the previous period, but is still relatively higher compared to vehicles using fossil fuels (gasoline, oil).
"Currently, there is almost no policy to encourage the development of electric vehicles in Vietnam," the Institute for Strategic Research and Industry and Trade Policy shared.
Electric vehicle prices are still high compared to gasoline and diesel vehicles. According to VAMA data, in 2020, the price of electric vehicles (only calculating the pure production cost) was about 45% higher than vehicles using internal combustion engines. Along with increasingly better and cheaper battery production technology, by 2030, the price of electric vehicles will decrease but will still be 9-10% higher than gasoline and diesel vehicles.
Electric vehicles have so far only received preferential special consumption tax rates of 15%, lower than those for conventional gasoline and diesel vehicles (35 - 50%).
The government is proposing to reduce the excise tax rate on battery-powered electric cars by 5-12 percentage points in the first five years after the law amendment takes effect.
From the 6th year onwards, the tax rate will increase for both imported and domestically produced cars. However, when the price of electric cars is still higher than similar gasoline-powered cars, the special consumption tax rate is not enough to bring the price of this type of car to a level that is easy to attract consumers.
Therefore, the Government's policy support for electric vehicle development is essential. In the first 10 years, the Government needs to have support policies, tax and fee incentives to stimulate demand and have policies to support the development of fast charging stations, home charging stations...
These incentives will gradually decrease in the next stage when electric vehicles have a certain market share. After 2050, electric vehicles will not need separate support policies.
According to the Institute for Strategic Research and Industry and Trade Policy, countries around the world have very methodical roadmaps and policies for electric vehicle development and always update policies with development realities.
Such as policies to encourage manufacturers, supporting people with a certain amount of money if they buy a car for the first time...
Therefore, the State needs to be proactive in developing and implementing policies, taking measures to support people buying electric cars for the first time, supporting people to switch from gasoline cars to electric cars...
In addition, to have a basis to promote the development of electric vehicles in Vietnam, it is necessary to complete standards, such as technical requirements and electrical safety with fast charging systems, battery replacement, as well as optimize charging stations and battery charging locations by using renewable energy sources.
