EV imports surge

The import of electric vehicles in Nepal saw a significant rise in the first quarter of fiscal year 2024/25, with Rs 6.11bn worth of electric cars, jeeps, and vans entering the country, according to data from the Department of Customs. A total of 2,518 electric four-wheelers were imported, marking an 18 percent increase in quantity compared to the same period last year.

In addition to four-wheelers, 2,635 three-wheeler electric vehicles, valued at Rs. 263 million, were also imported. The government collected Rs 3.83bn in customs revenue from these imports.

Most of the imported electric vehicles have capacities between 51 kW and 100 kW, with 1,582 vehicles falling in this range. Smaller vehicles with up to 50 kW capacity totaled 772 units, while those with higher capacities between 101 kW and 200 kW numbered 159, and only five vehicles had capacities above 201 kW.

The majority of electric vehicles—about 70 percent—were imported from China, accounting for 1,765 units. Imports also included 747 vehicles from India, five from Germany, and one from the United States.

Contributing factors to this surge include government customs subsidies, enhanced electricity supply, and favorable tariffs on EV charging by the Nepal Electricity Authority. Over the past few years, the import of electric vehicles has shown a steady increase, with 11,701 units imported in the previous fiscal year 2023/24.