The government is studying possible incentives for companies adopting electric vehicle (EV) trucks as part of efforts to reduce diesel dependency and support Malaysia’s net-zero emissions target by 2050, Transport Minister Anthony Loke said.
Speaking at the Malaysia Commercial Vehicle Expo 2026, Loke revealed that the National Electric Vehicle Task Force is scheduled to meet next week to discuss strategies aimed at encouraging wider EV truck adoption in the country.
Among the proposals being considered are tax exemptions and other incentive mechanisms to help lower the purchase cost of EV trucks for operators.
Loke said Malaysia’s EV truck adoption rate remains very low, with fewer than 10 units currently being used under pilot projects by transport companies, based on Road Transport Department data.
However, he noted that interest in EV trucks has been growing, particularly as countries such as China increasingly shift towards electric commercial vehicles to reduce reliance on diesel fuel.
He said Malaysia must also seriously examine the transition due to the country’s heavy diesel subsidy burden, which currently costs the government around RM2.5 billion monthly.
“If we want to encourage EV adoption, we need to examine what incentives can be offered to operators to help them invest in EV vehicles,” he said.
Loke acknowledged that one of the biggest challenges remains the high cost of EV trucks, which currently sell at prices two to three times higher than conventional diesel-powered trucks.
He added that inadequate charging infrastructure is another major obstacle slowing down adoption.
“If we want to encourage the use of EV trucks and EV vehicles in general, we must develop a complete ecosystem, particularly in terms of charging infrastructure,” he said.
The minister also urged manufacturers to focus on producing more fuel-efficient, environmentally friendly vehicles equipped with stronger safety features.
According to Loke, safety and profitability should go hand in hand, adding that businesses should continue prioritising road safety while remaining competitive and profitable.
