Proposal to waive registration fees for electric vehicles until the end of 2030.
The Ministry of Finance is drafting a Decree amending and supplementing a number of articles of Decree No. 10/2022/ND-CP dated January 15, 2022 of the Government regulating registration fees.
The Ministry of Finance announced that, in order to contribute to minimizing environmental pollution from vehicle emissions; encourage businesses to invest in production, take advantage of supply opportunities and stimulate consumers to use battery-powered electric cars, the Government has issued Decree No. 10/2022/ND-CP, which stipulates preferential registration fee rates for battery-powered electric cars as follows: For 3 years from March 1, 2022, the first-time registration fee is 0%; for the following 2 years, the first-time registration fee is 50% of the rate for gasoline-powered cars with the same seating capacity.
To further encourage the use of battery-powered electric vehicles, on February 28, 2025, the Government issued Decree No. 51/2025/ND-CP amending Decree No. 10/2022/ND-CP, thereby extending the application of the initial registration fee at 0% until the end of February 2027.
The implementation of the 0% registration fee for battery-powered electric vehicles has basically achieved the objectives set out when it was first enacted, impacting consumers, manufacturers and distributors of battery-powered electric vehicles; impacting air quality; and impacting state budget revenue.
The Ministry of Finance stated that in recent years, especially leading up to 2025, the global electric vehicle market has grown strongly in both scale and speed, becoming a crucial part of the world's automotive industry. Sales in 2024 exceeded 17 million vehicles (accounting for over 20%) and are expected to surpass 20 million vehicles (accounting for over 25%) by 2025. Alongside the increase in the number of vehicles in circulation, supporting infrastructure such as public charging stations is also rapidly expanding to meet actual demand. Countries around the world are trending towards restricting or gradually phasing out fossil fuel vehicles, while encouraging vehicles using clean fuels.
To reduce the initial cost barriers for users, registration fees and other charges are common tools used by many countries.
The Ministry of Finance is drafting a Decree amending and supplementing Decree No. 10/2022/ND-CP to extend the application period of the vehicle registration fee for battery-powered electric cars until the end of 2030. This aims to alleviate difficulties, encourage the development of electric cars, implement the policy of transitioning to green and environmentally friendly vehicles, and limit emissions that pollute the environment.
The first-time registration fee for battery-powered electric vehicles will be waived until December 31, 2030.
In the draft, the Ministry of Finance proposes amending and supplementing point c, clause 5, Article 8 of Government Decree No. 10/2022/ND-CP dated January 15, 2022, regulating registration fees, as follows:
"c) Battery-powered electric vehicles: From the effective date of this Decree until December 31, 2030: The initial registration fee is 0%. Battery-powered electric vehicles shall comply with the regulations of the Ministry of Construction.".