Green Leap Forward: Bangladesh Slashes EV and Battery Import Duties to 1%
Bangladesh's interim government has taken a transformative step toward green technology adoption by drastically reducing import duties on electric bikes and lithium/graphene battery raw materials from 60-80% to just 1% through two separate statutory regulatory orders (SROs).
Industry sources reveal this policy shift has prompted immediate investment plans worth Tk 200 crore from domestic companies like Walton and Runner, alongside multinationals including Huawei and Toyota, to establish local production of e-bikes, three/four-wheeled EVs, and mobile tower batteries. Market analysts predict this will spur energy conservation, reduce carbon emissions, conserve foreign currency, create jobs, and diversify exports.
The new SROs are expected to catalyze domestic production of e-bikes, lithium-ion, and lithium-graphene batteries while facilitating the replacement of research-acid batteries in easy bikes and rickshaws with advanced technology. Experts estimate the move could attract foreign investment and prevent potential revenue leakage of Tk 1,000 crore annually.
The policy breakthrough was spearheaded by Foyez Ahmed Taiyab, Special Assistant to the Prime Minister's Office for Posts, Telecommunications and IT. On May 5, 2025, he submitted a research-backed demi-official letter to the NBR Chairman, which was overseen by the Prime Minister's Special Envoy Lutfe Siddiqui. Key contributions came from Internal Resources Division Secretary and NBR Chairman Md. Abdur Rahman Khan, and Commerce Secretary Mahbubur Rahman through multiple consultative meetings.
Concurrently, SRO No. 123 of 2022 has been revoked to curb revenue evasion and e-waste generation through used/refurbished parts imports - a measure expected to recover approximately Tk 1,000 crore in annual tax revenue.
Stakeholders have hailed these reforms as "laying the foundation stone for green transportation, EV, and eco-friendly battery production" in Bangladesh's journey toward a technology-driven, sustainable future.
