Customs Revises EV Import Tariffs


Customs Revises EV Import Tariffs

The Ethiopian Customs Commission (ECC) has implemented revised import taxes to bolster domestic businesses and decrease reliance on imported products. Imported electric vehicles (EVs) now face higher charges with the initiation of 5pc in customs duty. Commissioner Debele Kabeta spearheaded the policy shift last week, ostensibly in line with the country's ongoing import substitution policy, which prioritizes local manufacturing. Kassaye Ayele, the tariff administration director at the Commission, emphasised that the changes were made after careful consideration of their social and economic impacts on local manufacturers. "More revisions will follow," he said. He stated that the changes come with the need to discourage fully assembled imports and entice more manufacturers towards EV assembly and production. Minister Alemu Sime, of the Ministry of Transport, announced the policy shift to Parliament back in February this year, citing rising fuel costs as the reason for reevaluating the country's dependence on conventional vehicles and exploring alternative options. His administration seeks to curb carbon emissions, promote cleaner air, and encourage the adoption of greener technologies in the automotive sector by discouraging the import of fossil fuel-powered vehicles. There are 250 registered electric vehicle importers in the country. Imports of EVs have nearly doubled in the past three years, with an outlay last year of 72 million dollars.


Radar

With New Tariffs, Trump Upends Decades-Old Ethiopia Trade Preferences

The Trump Administration has unexpectedly included Ethiopia in the list of countries subjected to new trade measures, imposing a 10pc levy on Ethiopian imports into the United States while granting a reciprocal 10pc tariff on American goods headed to Ethiopia. The move marks an unanticipated shift in Washington's approach to Addis Abeba, which for years benefited from duty-free access under the African Growth & Opportunity Act (AGOA). The tariff-free provisions had propelled apparel expor...


Radar

Unilever Ethiopia Eyes Triple Sales Under New Executive

Unilever Ethiopia plans to triple its annual sales within the next five years, aiming to reach 200 million euros. The growth push is led by 42-year-old Nesibu Temesgen, who took the top job this month, as the first Ethiopian national to claim the top executive position in the company. Unilever, a multinational company operating in more than 190 countries, established its Ethiopian presence in 2014. From its base in the Eastern Industrial Zone near the town of Modjo, the firm produces recognis...


Radar

EU Grants Ethiopia a 240 Euro to Support Key Sectors

Financial Assistance Targeted at Agribusiness, Digital Expansion, and Democratic Institutions The European Union (EU) has agreed to provide Ethiopia with a grant of €240 million to support development initiatives across key sectors. This financial assistance will primarily bolster projects in agribusiness, enhance digital competencies, and strengthen democratic institutions. Furthermore, the agreement will support public administration and facilitate efforts to promote stability and reco...