Hybrid car prices to increase in 2022 — JFZIC

AMMAN — The prices of hybrid cars will see an increase as of January 2022, due to the government decision to cancel tax exemptions, according to Mohammad Bustanji, president of the Jordan Free Zone Investor Commission (JFZIC).

“We are expecting the demand for hybrid cars to drop by 70 per cent during 2022,” said Bustanji. 

Bustanji said that the government’s 10 per cent tax exemption will expire by the end of this month, which means that an extra 10 per cent will be added to the prices of hybrid cars. 

“Over 18,000 hybrid cars have been customs-cleared, registered and licenced since January,” Bustanji noted. 

Additionally, the global market for hybrid cars is expected to witness an additional 20 per cent price increase next year. This will lead to a 30 per cent increase on newly manufactured hybrid cars entering the Kingdom, added Bustanji. 

Due to the price increase of hybrid vehicles, Bustanji said: “We are expecting the demand for electric cars to hike during 2022”.

Hybrid cars can run on both electricity and gasoline, while electric cars can only run off electricity from their battery. The government will continue to implement the tax exemption for electric vehicles. 

Spokesperson of Environment Ministry Ahmad Obeidat told The Jordan Times that the government encourages citizens to switch to electric cars. He said that electric cars are environmentally friendly and “promote a sustainable Jordan”.

According to Bustanji, Minister of Finance Mohamad Al-Ississ stated earlier that the government has no intention of extending the exemption period.

The total number of customs-cleared hybrid vehicles during December is expected to reach between 3,000 and 4,000, according to the JFZIC statistics.