Southeast Asian countries, hit by energy disruptions following the now weeks-long Middle East war, are now backing swifter electric vehicle (EV) transition in efforts to mitigate similar fallout in the future.
Growing uncertainty in regional fuel supply has prompted countries in southeast Asia to diversify their energy or fuel import sources in the more immediate term. Meanwhile, a quicker shift to EVs and renewable energy is seen as a longer-term measure, even as EV sales in the region recorded big jumps in 2025.
"This is a wake-up call," Indonesian president Prabowo Subianto said last week, in a call to push for electrification and renewable energy. Indonesia aims to have 100GW of solar power in "no later than two years", up from its current 11GW, he said, with earlier plans including battery energy storage system (Bess) deployments.
"We will convert all motorcycles into electric motorcycles. All cars, all trucks, all tractors must [also] be electric," he added.
Meanwhile, the Laos government has slashed EV fees and service charges by 30pc while raising charges for fuel vehicles by the same amount, according to a statement from the prime minister's office on 13 March. The government has also mandated that transport companies' EV fleet share reach at least 10pc by the end of 2026. The Laos government will also simplify import procedures for EVs and is considering raising the excise tax rate for fuel vehicles.
The Vietnamese government called for 50pc of city public transport to switch to EVs and for greater biofuels use, according to a directive that it issued on 19 March. The directive was part of a sweeping energy conservation effort, with the government citing the country's dependence on energy imports given the current conflict in the Middle East. It also aims to further integrate Bess to support the power grid. Vietnam is already targeting up to 16.3GW of ESS by 2030.
By June, Vietnam's finance ministry is required to look into measures to encourage EV production and adoption, according to the directive. Similar instructions went out to all its provinces and cities' people's committees, responsible for local administration. The government directed them to issue measures by September to promote EV charging station investment and develop "clean transportation vehicles", including electric public transport.
The Philippines' senate committee's energy vice-chair Win Gatchalian last week also called for a quicker EV transition for its public utility vehicles (PUVs). The country's landmark Electric Vehicle Industry Development Act — authored by Gatchalian — is currently offering its EV drivers priority vehicle registration and renewal, alongside access to public charging infrastructure. The Philippines, under the more optimistic clean energy scenario in its EV roadmap, envisions 50pc EV adoption by 2040, or at least 10pc by 2040 under its conservative scenario.
But dwindling incentives in other regional EV leaders such as Singapore and Thailand are also signalling hesitancy to extend domestic sales boosters in more mature EV markets.
Thailand recorded a big jump in battery EV registrations in 2025. But the government altered its EV policy late last year to encourage exports instead of domestic sales to avoid a potential supply glut.
Meanwhile, Singapore's preferential additional registration fee rebate, aimed at encouraging early de-registration of older, more pollutive cars, was cut by 45pc earlier this year, now capped at S$30,000 ($23,453). Its neighbour, Malaysia, removed its excise duty exemptions on completely built-up EVs since the beginning of 2026.
