Malaysia, Sweden strengthen ties towards shift to green mobility, electric vehicle use

Transport Minister Anthony Loke said the government would study the road tax structure for EVs to encourage a greater shift towards such vehicles in the future. Currently there are no specific road tax for EVs in Malaysia but there would be a review in 2026. On reports tthat road tax for EVs could be high, he said that would not be the case as Malaysia was serious about reducing carbon emissions and EVs were one of the pathways.

KUALA LUMPUR, May 16 – Transport Minister Anthony Loke has welcomed the joint efforts undertaken by Swedish businesses in Malaysia and the Malaysian Green Technology Corporation to help pave the way for the country’s shift towards electromobility and sustainable transport systems.

“We have a huge challenge ahead of us, globally and as a nation, to shift to a more sustainable transport sector. I believe that cooperation is key to solving this challenge and I am glad to see that our two nations are strengthening our relations within the transport sector, adding the green transition to our previous partnership within road safety,” he said at the Pioneer the Possible – Green Mobility and Transport
Forum here today.

The minister said Sweden has been a frontrunner in green transportation and its companies in the transportation industry have been breaking new ground in Malaysia over the years.

Speaking at a press conference later, Loke said the Malaysian government would study the road tax structure for EVs to encourage a greater shift towards such vehicles in the future.

Currently there are no specific road tax for EVs in Malaysia but there would be a review in 2026, he said.

Responding to talk that the road tax for EVs could be high, he aid that would not be the case as Malaysia was serious about reducing carbon emissions and EVs were on of the pathways.

The event, organised by Business Sweden in Malaysia, is part of a long-term sustainability platform promoting collaboration and innovation in green transition. It brought together Swedish and Malaysian businesses as well as stakeholders to share knowledge and best practices to accelerate the shift to green mobility and transport.

Speaking at the event, Trade Commissioner of Sweden to Malaysia, Emma Broms said there were almost 100 Swedish companies represented in Malaysia.

“It is our responsibility to support them and their Malaysian partners in pushing the needle towards a greener future. Sweden has a track-record of successful collaboration between private and public sectors to achieve a more sustainable growth and we hope that this initiative can inspire and be the starting point of new partnerships and projects.”

In a press statement issued by Business Sweden, Malcolm Pruys, Retail Manager IKEA Malaysia, was quoted saying that IKEA will continue to look at more sustainable ways of working, including the best ways to deliver products to customers.

“By 2030, we aim to make 100 percent of home deliveries in Malaysia in more sustainable transport solutions, and we look forward to working closely with minded partners in this transition.”

Charles Frump, Managing Director Volvo Cars Malaysia, meanwhile said the Government’s investment and effort to promote electric vehicles in Malaysia, will see more luxury automotive makers making the journey into electrification.

“We are proud to be Malaysia’s first car manufacturer to offer locally assembled electric vehicles and thereon establish ourselves as the hub to export fully electric vehicles within the ASEAN region.”

The Malaysian government is aiming for 1.5 million electrical vehicles to be used on the roads by 2040, which will be a giant leap from around 3,000 electric vehicles used presently. Sweden, with a population size of one third of Malaysia, has 30 times as many EVs.

Meanwhile, the forum today brought together Swedish and Malaysian businesses as well as stakeholders to share knowledge and best practices to accelerate the shift to green mobility and transport.

It looked into the factors that will drive the shift towards electric mobility, learning from Swedish
experiences and addressing challenges in both countries. Alternatives to electric vehicles will also be discussed and the importance to have a sustainable transport system.

A total of seven Swedish companies are partners in the platform comprising IKEA, Monitor ERP, Volvo Cars, Volvo Trucks, Atlas Copco, Axis Communications and Scania.

— WE