Close Menu
TechCentralTechCentral

    Subscribe to the newsletter

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Facebook X (Twitter) YouTube LinkedIn
    WhatsApp Facebook X (Twitter) LinkedIn YouTube
    TechCentralTechCentral
    • News

      Public money, private plans: MPs demand Post Office transparency

      13 June 2025

      Coal to cash: South Africa gets major boost for energy shift

      13 June 2025

      China is behind in AI chips – but for how much longer?

      13 June 2025

      Singapore soared – why can’t we? Lessons South Africa refuses to learn

      13 June 2025

      10 red flags for Apple investors

      13 June 2025
    • World

      Yahoo tries to make its mail service relevant again

      13 June 2025

      Qualcomm shows off new chip for AI smart glasses

      11 June 2025

      Trump tariffs to dim 2025 smartphone shipments

      4 June 2025

      Shrimp Jesus and the AI ad invasion

      4 June 2025

      Apple slams EU rules as ‘flawed and costly’ in major legal pushback

      2 June 2025
    • In-depth

      Grok promised bias-free chat. Then came the edits

      2 June 2025

      Digital fortress: We go inside JB5, Teraco’s giant new AI-ready data centre

      30 May 2025

      Sam Altman and Jony Ive’s big bet to out-Apple Apple

      22 May 2025

      South Africa unveils big state digital reform programme

      12 May 2025

      Is this the end of Google Search as we know it?

      12 May 2025
    • TCS

      TechCentral Nexus S0E1: Starlink, BEE and a new leader at Vodacom

      8 June 2025

      TCS+ | The future of mobile money, with MTN’s Kagiso Mothibi

      6 June 2025

      TCS+ | AI is more than hype: Workday execs unpack real human impact

      4 June 2025

      TCS | Sentiv, and the story behind the buyout of Altron Nexus

      3 June 2025

      TCS | Signal restored: Unpacking the Blue Label and Cell C turnaround

      28 May 2025
    • Opinion

      Beyond the box: why IT distribution depends on real partnerships

      2 June 2025

      South Africa’s next crisis? Being offline in an AI-driven world

      2 June 2025

      Digital giants boost South African news media – and get blamed for it

      29 May 2025

      Solar panic? The truth about SSEG, fines and municipal rules

      14 April 2025

      Data protection must be crypto industry’s top priority

      9 April 2025
    • Company Hubs
      • Africa Data Centres
      • AfriGIS
      • Altron Digital Business
      • Altron Document Solutions
      • Altron Group
      • Arctic Wolf
      • AvertITD
      • Braintree
      • CallMiner
      • CYBER1 Solutions
      • Digicloud Africa
      • Digimune
      • Domains.co.za
      • ESET
      • Euphoria Telecom
      • Incredible Business
      • iONLINE
      • Iris Network Systems
      • LSD Open
      • NEC XON
      • Network Platforms
      • Next DLP
      • Ovations
      • Paracon
      • Paratus
      • Q-KON
      • SkyWire
      • Solid8 Technologies
      • Telit Cinterion
      • Tenable
      • Vertiv
      • Videri Digital
      • Wipro
      • Workday
    • Sections
      • AI and machine learning
      • Banking
      • Broadcasting and Media
      • Cloud services
      • Contact centres and CX
      • Cryptocurrencies
      • Education and skills
      • Electronics and hardware
      • Energy and sustainability
      • Enterprise software
      • Fintech
      • Information security
      • Internet and connectivity
      • Internet of Things
      • Investment
      • IT services
      • Lifestyle
      • Motoring
      • Public sector
      • Retail and e-commerce
      • Science
      • SMEs and start-ups
      • Social media
      • Talent and leadership
      • Telecoms
    • Events
    • Advertise
    TechCentralTechCentral
    Home » George Mienie » It’s time for South Africa to drop import duties on EVs

    It’s time for South Africa to drop import duties on EVs

    The South African government needs to follow in the footsteps of its Australian and Norwegian counterparts, writes AutoTrader's George Mienie.
    By George Mienie25 November 2022
    Twitter LinkedIn Facebook WhatsApp Email Telegram Copy Link
    News Alerts
    WhatsApp
    The author, George Mienie

    The South African government needs to follow in the footsteps of its Australian counterpart when it comes to incentivising electric vehicle (EV) sales and making them more affordable.

    Australia has just passed what is known as the Treasury Laws Amendment (Electric Car Discount) Bill. In terms of this piece of legislation, EVs will be exempt from import tariffs and fringe benefits tax.

    The implications are considerable. Practically, this will see the price of some EVs being reduced by up to A$9 000 (about R104 000) for businesses or $4 700 (about R54 000) for individuals.

    The South African government would be well advised to implement similar legislation

    There are also plans in Australia to convert the government fleet to EVs – and this fleet is substantial; in 2018, 38 300 new cars were sold to government customers in Australia. This will impact the second-hand market – the increased availability of used EVs could bring down prices for consumers substantially.

    The South African government would be well advised to implement similar legislation. We have done a considerable amount of research into EV ownership, perceptions and expectations in South Africa. We know that consumer demand for EVs is growing exponentially.

    According to the 2022 South African EV Buyers Survey (3rd Edition), searches for EVs have grown by 102% year on year, which is just one indicator demonstrating their growing popularity. Consumer Views of Adverts (Consumer Advert Views) for EVs are up by 134% – versus 25% for cars with internal combustion engines. Most importantly, enquiries for EVs are up by 74%, pointing to a larger audience of in-market car shoppers likely to buy an EV in the near future.

    Simply too expensive

    The initial price may, however, deter them from that purchase. Our survey established that the initial cost of purchase is the single biggest disadvantage when it comes to EV acquisition (65% of our respondents indicated this). Therefore, it’s crystal clear that EVs are simply too expensive in South Africa.

    It’s time for the EV anomaly to change. South Africans pay 25% import taxes on EVs and 18% import taxes on internal combustion-engined vehicles. Hence, we’re in an odd situation where we pay disproportionately more for EVs than the rest of the world, only because they have an incentive structure which we don’t. The countries that have tax incentives in place have become very stimulated EV markets (with one of the best examples being Norway).

    Countries such as Norway and Australia have shown what we need to do. It’s clearly time for South Africa to follow their lead. EVs are the future, and our country needs to be part of that future.

    • The author, George Mienie, is CEO of AutoTrader

    Get TechCentral’s daily newsletter



    AutoTrader George Mienie
    Subscribe to TechCentral Subscribe to TechCentral
    Share. Facebook Twitter LinkedIn WhatsApp Telegram Email Copy Link
    Previous ArticleMusk: Twitter to roll out blue, gold and grey checkmarks
    Next Article Musk touts features of Twitter’s ‘everything app’

    Related Posts

    High prices holding back used EV sales in South Africa

    28 August 2024

    Property, car websites also in commission’s cross hairs

    1 August 2023

    EVs are the ‘dirtiest means of personal transport’ in South Africa

    3 May 2022
    Company News

    Huawei Watch Fit 4 Series: smarter sensors, sharper design, stronger performance

    13 June 2025

    Change Logic and BankservAfrica set new benchmark with PayShap roll-out

    13 June 2025

    SAPHILA 2025 – transcending with purpose, connection and AI-powered vision

    13 June 2025
    Opinion

    Beyond the box: why IT distribution depends on real partnerships

    2 June 2025

    South Africa’s next crisis? Being offline in an AI-driven world

    2 June 2025

    Digital giants boost South African news media – and get blamed for it

    29 May 2025

    Subscribe to Updates

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    © 2009 - 2025 NewsCentral Media

    Type above and press Enter to search. Press Esc to cancel.