The Philippines government has signed an executive order creating the Electric Vehicle Incentive Strategy (EVIS) programme, which provides up to 60bn pesos ($979.2m) in fiscal support for companies investing in domestic EV manufacturing.
The order, signed by President Ferdinand Marcos Jr, followed approval of the programme by the Fiscal Incentives Review Board on 18 May 2026, based on a recommendation from the Board of Investments (BOI).
“The EVIS Program is hereby adopted to promote local manufacturing of EVs, including their parts and components, attract investments to expand domestic EV manufacturing operations, and develop the Philippines as a regional automotive manufacturing hub,” the executive order read.
The EVIS Programme applies to the manufacturing of hybrid and battery electric passenger cars and commercial vehicles, as well as their parts and components.
The BOI will serve as the lead implementing agency.
It will be supported by the new Inter-Agency Committee on EV Industry Development (IAC-EV), which will include representatives from various departments such as finance, energy, transportation, and budget and management.
Under the programme, applicants can enrol up to two EV models each.
To qualify, participants must commit at least 5bn pesos in investment and bring their enrolled models to the domestic or export market within three years of registration.
The fiscal support package has two parts.
Fixed Investment Support (FIS) will cover 40% of qualifying capital expenditure for battery EVs and 30% for hybrid, plug-in hybrid, and fuel cell EVs.
This applies to both vehicle assembly and parts manufacturing. FIS will be available for up to ten years from registration.
A Production Volume Incentive (PVI) of up to 12% of ex-factory unit price will apply to vehicle assembly that meets a minimum planned production volume of 10,000 units.
The incentive is capped at 200,000 pesos per unit and will be available for up to ten years from the start of production.
Combined fiscal support under both components is limited to 60bn pesos in total, while each model can qualify for up to 15bn pesos.
Support will be provided through a non-transferable Tax Payment Certificate that can be used against income tax, excise tax, value-added tax, and import duties.
If the programme is oversubscribed, the IAC-EV will recommend the top four qualified applicants to the BOI, based on fiscal and economic impact and contribution to the domestic economy.
