Electric cars will rise in price in Ukraine: custom taxes return
5 December 2024 16:59
The benefits for customs clearance of electric vehicles in Ukraine will be valid only until the end of next year, but there is no provision for their extension. This was stated by Danylo Hetmantsev, MP, Chairman of the Verkhovna Rada Committee on Finance, Taxation and Customs Policy, "Komersant Ukrainian" reports citing Auto-Consulting.
According to him, the electric car benefits will be valid for another year. However, they are not going to be extended until 2026.
“The benefits for electric vehicles will be valid for another year and will not be touched, but there are no plans to extend them. This is a consolidated position,” summarized Mr. Hetmantsev.
The MP explained this position by the uneven tax burden on cars with internal combustion engines and electric cars. In a country at war, certain goods cannot be exempted from VAT.
“If earlier we were talking about supporting new products that needed to be stimulated, that was one thing. But now, when every second person already has an electric car, why should some people pay taxes and others not,” said Danylo Hetmantsev.
According to the official, support for electric vehicles at the initial stages was important to stimulate the market. But today, when the number of electric vehicles has grown significantly, their owners should be prepared for standard taxation.
Currently, the privileges remain in effect, but their abolition may affect the cost of electric cars in Ukraine.
Preferential customs clearance of electric vehicles in Ukraine
Preferential customs clearance of electric vehicles in Ukraine has been in effect since 2018.
Electric cars are fully exempt from customs duties and VAT, and the excise duty for customs clearance is EUR 1 per 1 kWh of battery capacity. Given that the capacity rarely exceeds 120 kWh, customs clearance of an electric car in Ukraine costs no more than 120 euros.
It is the benefits that have contributed to the rapid growth in demand for electric vehicles in Ukraine. For example, in 2024, more than 45 thousand such cars were imported, and their total value exceeded one billion dollars.
