Eco-Car Tax Break and Subsidies for Vehicles

Last updated: 17 November 2022

With the Eco-Car Tax Break, clean energy vehicles enjoy a tax reduction/exemption with respect to three vehicles taxes: motor vehicle tonnage tax, automobile acquisition tax and motor vehicle tax (ownership). Eligible vehicle types include high fuel efficiency internal combustion engine vehicles, electric vehicles, fuel-cell powered vehicles, plug-in hybrid vehicles, natural gas vehicles and clean diesel passenger vehicles. 


Different levels of subsidy will also be provided to plug-in hybrid vehicle as follows:

- Up to 400 thousand JPY for electric and fuel-cell powered vehicles;

- Up to 200 thousand JPY for plug-in hybrid vehicles;

- Up to 150 thousand JPY for clean diesel passenger vehicles; 

- Up to 2.3 million JPY for fuel cell vehicles.

The scheme will also support the deployment of charging infrastructure.


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