The first registration tax (FRT) concessions for electric private cars, including the “One-for-One Replacement” scheme, will not be extended upon their expiry on March 31, according to Financial Secretary Paul Chan Mo-po.
Chan noted that the decision reflects the maturity of the technology and the increased availability and affordability of electric vehicles. The Environment and Ecology Bureau will provide further details soon.
Meanwhile, the first registration tax for electric commercial vehicles, electric motorcycles and electric motor tricycles will remain fully waived until the end of March 2028.
Since 2018, the government has introduced the “One-for-One Replacement” scheme for electric private cars. This allows owners of petrol vehicles who scrap their old cars and purchase new electric vehicles to receive a higher first registration tax concession, initially capped at HK$287,500.
In recent years, due to fiscal deficit, the government announced in 2024 an extension of the scheme for two more years until March 31, 2026, reducing the concession cap to HK$172,500, with electric vehicles priced over HK$500,000 not eligible for this waiver.
The scheme has accelerated the adoption of electric vehicles (EVs) in Hong Kong, with the proportion of newly registered electric private cars rising from 24 percent in 2021 to over 70 percent in 2025, meaning that more than seven out of every 10 newly registered private cars will be electric.
The Environment and Ecology Bureau recently updated the Hong Kong Roadmap on Popularisation of Electric Vehicles, outlining five key areas of focus, including establishing an EV charging network underpinned by fast chargers.
The bureau noted that the popularization of electric private cars is gradually being driven by the market, and future improvements will primarily involve the development of the charging network, maintenance training, and battery recycling.
