BYD to continue investing in Malaysia despite new EV import rules

Chinese EV giant BYD says it will continue working with the Malaysian government and local partners even after Malaysia introduced stricter rules for fully imported EVs starting 1 July 2026. So, what should you know about it?

Under the new policy, all fully imported EVs entering Malaysia must meet a minimum cost, insurance and freight (CIF) value of RM200000, alongside a minimum power output of 180kW. Industry estimates suggest this could push the final retail pricing of many imported EVs beyond RM300000.

BYD Vice President and Asia Pacific Auto Sales Division General Manager Liu Xueliang said the company respects Malaysia’s automotive policies and plans to continue supporting the local EV ecosystem. He added that BYD will work closely with the government, distributors and dealer partners to develop EV solutions that better suit the Malaysian market.

The statement was made at the opening of BYD’s third showroom in Penang, operated by Sime Motors. BYD also said Penang could play a bigger role in Malaysia’s green mobility plans, especially with ongoing investments in EV infrastructure, technical training and after-sales services.

Malaysia’s new EV import rules could affect affordable EV pricing

Malaysia’s updated EV import policy has sparked discussions among industry players and consumers. The Ministry of Investment, Trade and Industry (MITI) said the revised rules are intended to strengthen Malaysia’s automotive ecosystem and encourage more localisation efforts from foreign EV brands.

Several reports also noted that the new rules may affect the availability of more affordable imported EVs in Malaysia. The RM200000 CIF requirement, combined with taxes and operational costs, could significantly increase retail pricing for some EV models currently sold in the country.

Despite these concerns, BYD appears committed to its long-term plans in Malaysia. Previous reports have mentioned possible local assembly operations in Tanjung Malim, Perak. However, MITI clarified that manufacturing approvals are tied to export-oriented production requirements and localisation conditions that apply equally to all investors.

BYD continues expanding in Malaysia

BYD is also continuing to expand its dealer and showroom network across Malaysia, including East Malaysia. Liu said the company has seen increasing demand from customers in Sabah and Sarawak and plans to introduce more EV models to the region in the future.

The company’s continued investment comes as Malaysia pushes to become a regional EV hub through infrastructure development, localisation efforts and automotive industry incentives. Several Chinese EV brands are also reportedly exploring local production opportunities in Malaysia as part of their ASEAN expansion plans.

What do you think about Malaysia’s latest EV import policy and BYD’s plans here?

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