Refrain from protectionism, Chow tells govt on EV policy

Penang chief minister Chow Kon Yeow urged the federal government to avoid protectionism in its electric vehicle (EV) policy, as he advocates for localising Malaysia's EV ecosystem. He expressed a desire for more local firms to participate in the EV supply chain, enhanced technology transfer, and high-value jobs for Malaysians. However, Chow stressed the importance of maintaining investor confidence and refraining from protectionist measures during a signing ceremony between McDonald's Malaysia and Tenaga Nasional Bhd.

He noted recent concerns regarding the communication of CBU EV policies and the potential for excessive concentration in the sub-RM100,000 EV market, which should be addressed with seriousness. While Malaysia requires investment, technology, and competition, he emphasized the need for consumers to have choices. He called on the Ministry of Investment, Trade, and Industry (Miti) to take note of these concerns and refine the way policies are communicated and implemented to instil confidence in investors and businesses.

In June, the ministry introduced two new conditions for importing CBU EVs, effective July 1, 2026: a minimum cost, insurance, and freight value of RM200,000 and a reduced minimum motor power threshold of 180kW. The ministry defended the policy changes, stating they align with the National Automotive Policy's goals of overseeing EV model entry while fostering a competitive and sustainable local automotive industry.