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Electric cars

Why 2019 Hong Kong budget should bring back e-vehicle tax break

  • A tax break can only encourage car makers to bring their e-vehicles to the Hong Kong market, making it a health break for the people walking the streets
PUBLISHED : Tuesday, 01 January, 2019, 1:08pm
UPDATED : Tuesday, 01 January, 2019, 1:14pm

With the next Hong Kong budget already being discussed, it may be time to reopen the debate on special allowances for electric cars (“Finance chief hints at fewer sweeteners in next Hong Kong budget”, December 23).

The circumstances which may have prompted the financial secretary to slash a tax waiver for electric vehicles in 2017 have changed. There are now electric vehicles from major manufacturers in all major car-producing nations. A recent issue of the UK-based magazine What Car? listed 46 electric vehicles available or soon to be available in the UK – which did not include some Chinese manufacturers.

Asian electric car makers in China, Japan and South Korea are putting out models which span from small city vehicles to mid-size, four-door family cars. Luxury manufacturers like Maserati, Porsche, Audi and Jaguar have announced all-electric models. The competition in the market is hotting up and is no longer solely Tesla territory.

Electric car buyers get new HK$250,000 tax break but will it boost market?

Tax relief can only encourage car makers to bring their electric vehicles to the Hong Kong market. The financial secretary may view this as a tax break: I view it as a health break, for the people who walk the streets of Hong Kong.

And then we can start on getting the power suppliers to clean up their act!

Peter Mallen, Pok Fu Lam