Evaluating the Adoption of Electric Vehicles in Malaysia: Challenges and Opportunities

Abstract

This paper examines the adoption of electric vehicles (EVs) in Malaysia from 2016 to 2024, with a focus on market trends, policy measures, and ongoing challenges. Although EV registrations have increased-especially since 2022 due to stronger government incentives and more affordable models-their market share remains low, reaching only about 1.8% in 2024, well below the 15% target set for 2030. Government initiatives such as the National Automotive Policy 2020, Low Carbon Mobility Blueprint, and National Energy Transition Roadmap have established ambitious goals for EV adoption and infrastructure, supported by tax exemptions and incentives for charging. However, key barriers persist, including insufficient charging infrastructure, high upfront vehicle costs, and limited consumer awareness. The paper highlights the need for continued policy support, expanded infrastructure, and public education to accelerate Malaysia’s transition to electric mobility and achieve its environmental and economic objectives.