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2025-12-16 15:20:04
[Japan Plans to Tax Electric Vehicles Based on Weight Starting in 2028] 1. The Japanese government and ruling party have drafted an amendment to the automobile tax system, planning to impose an additional tax on privately owned electric vehicles (EVs) and plug-in hybrid electric vehicles (PHEVs) based on their weight, starting in May 2028. This new tax will be levied on top of the existing vehicle weight tax paid during vehicle inspections, using a mechanism where "the heavier the vehicle, the higher the tax." 2. This move aims to address the growing financial strain on road maintenance by requiring electric vehicles, which are heavier than traditional gasoline vehicles and place a greater burden on roads, to bear a corresponding financial burden. This tax adjustment is expected to be included in the soon-to-be-finalized 2026 tax reform outline. 3. Notably, among electric vehicles sold in the Japanese market, heavier models are primarily imported. Since new electric vehicles generally tend to be more expensive the heavier they are, this policy is expected to primarily affect high-end electric vehicles, significantly increasing their tax burden. The new regulations will apply to vehicle inspections conducted after May 1, 2028.
