Cambodia slashes import duties on EVs and clean energy.
The Royal Government of Cambodia has introduced targeted tax measures to support the transition towards cleaner energy and sustainable manufacturing. Sub-Decree No. 52, issued on 26 March 2026, revises customs import duty and export tax rates on selected goods, with the changes taking effect from 1 April 2026.
This article outlines the key rate changes, explains the policy context and identifies which sectors are most likely to benefit.
Key changes to import duties
The sub-decree reduces duties across a broad range of clean technology products, with the most significant cuts applying to electric vehicles. The changes are designed to lower adoption costs and encourage wider use across households and industrial sectors.
The revised rates are as follows:
- EV charging equipment, electric wires and cables: 7% to 0%
- Electric rice cookers, solar lamps and selected household appliances: 7% to 0%
- EVs, HEVs and PHEVs (passenger and cargo): 15% to 0%
- EV motors, solar energy systems, lithium batteries and energy storage devices: 15% to 0%
- Family EVs: 35% to 0%
- Family PHEVs: 35% to 7%
- Aluminium coil export tax: 25% to 0%
Exporters of aluminium coil products that meet specified regulatory criteria are also eligible for a full export tax exemption, a measure intended to promote value-added manufacturing and strengthen regional competitiveness.
Policy intent and sector impact
The measures were introduced against a backdrop of rising gasoline prices and global fuel market volatility. Lowering import duties on EVs, clean energy equipment and energy-efficient appliances provides near-term cost relief while supporting a structural shift away from fossil fuel dependency.
The duty reductions align with Cambodia’s broader economic and environmental objectives, particularly its efforts to promote green growth and attract investment into sustainable industries. The government is signalling strong policy support for the development of an emerging green economy by lowering the cost base for clean energy equipment and EV-related infrastructure.
Manufacturers, importers and project developers in renewable energy, electric mobility and light manufacturing are likely to benefit most directly. The removal of import duties may also improve project feasibility for solar installations and energy storage solutions, which have historically faced cost barriers.
What this means for businesses
Sub-Decree No. 52 marks a clear step towards incentivising environmentally sustainable investment in Cambodia. Businesses importing eligible goods should review their supply chains and customs classifications to confirm they benefit from the revised duty rates. Further guidance from the General Department of Customs and Excise on tariff classification and documentary requirements is anticipated, so monitoring developments and confirming harmonised system (HS) classifications ahead of any customs filings is advisable. Exporters of aluminium products should also assess whether they meet the criteria for exemption.
Overall, the changes enhance Cambodia’s attractiveness as a destination for green investment and manufacturing while supporting the country’s longer-term transition towards a more sustainable and energy-efficient economy.
To understand how these changes affect your import classifications or supply chain planning, consult an expert who can assess your specific situation.
