HCMC – Vietnamese automaker VinFast has requested an extension of the electric vehicle (EV) registration fee exemption, saying the incentive is needed to accelerate EV adoption.
VinFast proposed extending the full exemption for three years, from March 1, 2025 to February 28, 2028, followed by a 50% reduction for an additional three years.
In response, the Ministry of Finance has drafted two policy options. The first maintains the framework of Decree 10/2022/ND-CP, granting a three-year exemption through February 28, 2025, followed by a 50% reduction for two more years. The second option extends the 100% exemption for two more years, until February 28, 2027.
The ministry favors the first option, citing the need for policy stability and fiscal balance. Under the current regulations, EVs are exempt from the registration fee until February 28, 2025, after which fees will be set at 50% of those applied to gasoline and diesel vehicles. This fee is equal to 10% to 12% of a vehicle’s price.
Six months before the current incentive expires, the Ministry of Finance will conduct a policy impact assessment and propose adjustments for the next phase. If the second option is adopted, regulatory amendments would be required.
The ministry’s stance aligns with Decree 10’s objectives, which aim to reduce environmental pollution, encourage EV manufacturing, boost consumer adoption, and minimize the impact on central and local budget revenues.
