The Tariff Commission (TC) is set to start public hearings on the temporary removal of most-favored nation (MFN) tariff on electric vehicles (EVs) and their parts and components.
In a notice, the TC said covered by the duty elimination are those under tariff heading 87.02 or motor vehicles for the transport of 10 or more person including the driver; 87.03, motor cars and other motor vehicles principally designed for the transport of persons (other than those of heading 87.02) including station wagons and racing cars; 87.04, motor vehicles for the transport of goods; 87.11, motorcycles (including mopeds) and cycles fitted with an auxiliary motor with or without side cars; 8507.80.90, lithium ion accumulators and; 8537.10.99A/8537.10.99C, motor controllers; AC charging stations (excluding static converters).
Duties will be waived on these products imported from countries outside Asean, where tariffs have been either lowered or eliminated under the Asean Trade in Goods Agreement.
The hearings, set to start on May 12, 2022, will provide the President with independent analysis, information and technical support on a proposed executive order that will be issued on the tariff removal on EVs and their parts and components.
The waiver is seen to encourage wider adoption of EVs through lower prices.
Motor vehicles are slapped up to 30 percent duties, depending on their origin.