“Over the last few years, there has been an increase in demand for EV and hybrid vehicles.
“Car sales have witnessed a steady incline throughout the last year due to the government initiated sales tax exemption, which is applicable for all our vehicles,” said Mercedes-Benz Cars, Malaysia & SEA II vice-president of sales and marketing Michael Jopp.
Volvo Car Malaysia (VCM) and BMW Group Malaysia also saw a boost in their sales as a result of the SST exemption, as it reduced the reluctance of people to adopt plug-in hybrids (PHEVs) and electric vehicles (EVs), which are relatively new technology.
While there are early adopters who embrace the technology easily, incentives, industry and infrastructure support helps the demand for the adoption of the technology and innovation.
“Malaysia is currently at the forefront of this development and (the SST exemption) has helped us in meeting our customers’ expectations.
“Nevertheless, more needs to be done and is in the process of being implemented to ensure that there will be more electric vehicles on the roads in Malaysia,” said BMW Group Malaysia managing director Hans de Visser.
He believes that Malaysians are increasingly being aware of the benefits of electrified vehicles from an ownership experience, which include cost benefits, driving and charging experience.
All three companies agree that the government has a big part to play in encouraging uptake of plug-in PHEVs and EVs in Malaysia, whereby factors such as government incentives and improving infrastructure could be a determining factor in getting people to adopt the technology.
A VCM spokesperson added that aside from incentives that encourage sales, such as lowering road taxes or special incentives for customers to install EV chargers at home, there needs to be an expansive charging infrastructure that spans across major highways, in petrol stations and shopping malls, and across the country in order to promote clean and sustainable energy for an electrified generation in Malaysia.
Electrified vehicles make up a big chunk of all their sales, and having the right policies and infrastructure put in place could greatly improve not just their sales but also boost the automotive industry as a whole.
Visser added that other than the government, shared responsibility between various stakeholders is also important in setting the Malaysian automotive industry on the road to sustainability and electrified mobility.
“The Malaysian automotive industry is once again at the forefront of this change with the Malaysian government on the brink of announcing an enhanced blueprint, an accelerated policy for Electric Vehicles which addresses policy, infrastructure, innovation and the value chain as a whole which would further grow the industry.
“This is definitely a welcome move and a further progressive step in the right direction for the industry.”
Besides increasing demand for electrified vehicles, the implementation of policies to improve its sales can also see Malaysia begin to get a wider range of PHEVs and EVs for people to choose from.
Jopp said with the increasing demand for EVs and hybrids, Mercedes-Benz can begin to introduce new models and expand their offerings in the country.
“Currently, as the number of EV and hybrid vehicles are on the rise, we will look to introduce the right product portfolio at the right time.
“This is depending on a number of factors, including the government direction and incentives to pave the way for the EV and hybrid sector in Malaysia and the maturity of the local charging infrastructure,” he said.