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flag Malaysia's EV sales growth slows in 2026 due to new taxes, charging shortages, and continued petrol subsidies.

flag Malaysia’s EV sales are projected to slow in 2026 due to new tax rules eliminating import incentives for complete built-up EVs, pushing manufacturers toward local CKD assembly. flag While companies like XPeng, BYD, and Proton are ramping up local production, demand growth remains uneven, constrained by fewer than 6,000 public charging points—below the 10,000-target. flag EV adoption is still limited to urban areas and early adopters, with xEVs making up 8% of vehicle sales in 2025, up from 5.6% in 2024, and expected to reach 100,000 units sold in 2026. flag Infrastructure gaps and a new petrol subsidy are delaying broader EV adoption, with gasoline vehicle demand not expected to peak for at least five years.

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