Overview of Asian and Asia-Pacific passenger vehicle taxation policies and their potential to drive low-carbon vehicle purchases
Tax policy can be designed to spur both the deployment of electric vehicles (EVs) and improvements in the fuel efficiency of internal combustion engine (ICE) vehicles. This paper focuses on national-level taxation and subsidy policies for passenger vehicles across 18 Asian and Asia-Pacific countries and compares the consumer ownership costs of a gasoline, a hybrid electric, and a battery electric vehicle in these countries over a 6-year ownership period. The countries analyzed account for 99% of all passenger vehicle sales in Asia and the Asia-Pacific, and this paper identifies the policies and countries that are providing the most significant and effective incentives for more efficient vehicles and EVs.
