Kathmandu-In April, 1,206 cars were imported into the Nepali market. This figure includes both internal combustion engine (ICE) vehicles and battery-powered electric vehicles (EVs).

Electric vehicles accounted for a significant share of total imports. Rising petroleum prices have further increased consumer interest in EVs, while demand and market penetration for electric cars in Nepal have been steadily growing since 2020–21.

The government has imposed substantially lower taxes on electric vehicles compared to petroleum-powered cars. As a result, EVs have become more affordable in Nepal than in many other countries around the world.

In most countries, electric cars remain more expensive than conventional vehicles despite subsidies. Although EV production costs are relatively high, they have gradually been declining.

Government customs incentives have played a major role in boosting EV sales and encouraging the entry of several new electric vehicle brands into the market. Customs data clearly reflects this shift, as EV imports have surpassed ICE vehicle imports over the past three to four years.

Nepal’s abundant domestic hydropower generation has also made electric vehicles an attractive choice for consumers. Previously, EVs were often purchased as second cars, but in recent years, the number of buyers choosing electric cars as their primary vehicle has increased significantly.

For these reasons, the Nepali market now offers more than three dozen EV brands and over a hundred models. While some brands have exited the market, new entrants continue to arrive.

Electric vehicles are being imported into Nepal from China, India, Thailand, Indonesia, and several European countries. Meanwhile, ICE vehicles are imported mainly from India, Japan, South Korea, and Europe.

Tata imported the highest number of cars into Nepal in April, many of them electric vehicles. During the month, 245 Tata cars, 196 Mahindra cars, 190 Dongfeng (Nami) cars, and 150 BYD cars were imported.

Similarly, 113 Jaecoo and iCar vehicles, 102 Changan (Deepal) vehicles, and 62 Suzuki vehicles entered the market. Hyundai imported 30 fully built cars along with more than 40 assembly kits. Hyundai’s Creta and Venue models are currently being assembled in Nepal.

The following are the numbers of cars imported in April by brand:

BMW- 1

Denza- 1

Land Rover- 1

LS Auto- 1

Toyota- 1

Subaru- 2

GAC- 3

 Jinpeng- 3

Nissan- 3

Ford- 5

Geely- 6

IM- 6

Kaiyi Auto - 9

Xpeng- 10

Skoda- 11

Dayun 12

Isuzu- 12

Kia- 30

Hyundai- 30 (more than 40 assembled kits)

Suzuki- 62

Changan (Deepal)- 102

Jeep/iCar- 113

BYD- 150

Dongfeng (Nami)- 190

Mahindra- 196

Tata- 245