Why is Uzbekistan charging $3,500 to import an EV? A look at global practices

As of January 1, 2025, importing an EV less than three years old into Russia requires a recycling fee of up to 667,400 rubles (about $8,200). For vehicles older than three years, the fee goes up to 1,174,000 rubles (about $14,800).

However, there’s an important nuance: these high fees apply only to legal entities (businesses). If an individual — say, “Andrey” — wants to import an EV for personal use from China, he pays only 3,400 rubles (around $42). The catch: Alexey cannot import another vehicle under the reduced rate within the same calendar year, nor can he sell the imported car within 12 months.

In Uzbekistan, however, both individual importers (like “Eshmat”) and companies (like Eshmat Auto LLC) pay the same flat recycling fee of 45 million UZS. No discounts or exemptions are offered to private individuals.

In Belarus, recycling fees are similar to Russia’s, due to Moscow’s influence and the customs union between the two countries. Previously, importing vehicles through Minsk was cheaper for Russians, so Belarus harmonized its fees with Russia’s.

Currently, EV imports into Belarus are exempt from VAT and customs duties. For individuals, the recycling fee ranges from $166 to $250 depending on the vehicle’s age. For businesses, the rates are aligned with Russia’s.

Armenia has no recycling fee. Moreover, EVs can be imported without paying customs duties or VAT — but only within a limited quota, set at 8,000 vehicles for 2025. In return, Armenians are not allowed to resell the imported vehicles to Russian citizens.

Azerbaijan eliminated customs duties and excise taxes on eco-friendly vehicle imports in 2019, though VAT still applies. In 2022, the government discussed introducing a recycling fee for EVs, but the idea was never implemented.

The European Union’s approach

In the EU, vehicle waste management is governed by a directive adopted on September 18, 2000. It requires automakers and large importers to establish networks of collection points for old vehicles. No government recycling fees are charged.

Anyone who imports a new or used vehicle — for example, from Germany to France — pays no recycling fee.

Importantly, EU laws clearly state that these obligations apply only to large manufacturers and importers, not to individuals bringing in cars. Moreover, many EU countries actively promote EV adoption through incentives rather than additional taxes or fees.

Developed Asian countries

Like Uzbekistan, Japan does charge a recycling fee — but it is modest, between 6,000 and 18,000 yen ($41–$123). The payment is made upfront and stored in a special fund to finance the car’s future disposal. When a vehicle is no longer roadworthy, the owner takes it to a recycling center, which then receives funding from the manufacturer or the fund to handle the disposal.

In Japan, the process is transparent: the money collected is strictly used for recycling. In Uzbekistan, by contrast, how recycling fees are spent remains unclear, and there are concerns that the funds may be used for unrelated purposes.

South Korea follows the EU’s “extended producer responsibility” model. Buyers do not pay any recycling fee — manufacturers bear the cost.

Final thoughts

While many countries are encouraging EV imports, Uzbekistan appears to be creating artificial barriers. The country still lacks the infrastructure to recycle EV batteries. This suggests that the recycling fee is not genuinely motivated by environmental concerns but rather by a protectionist policy aimed at limiting imports.

The government’s resolution included a provision to develop a clear mechanism for the effective use of recycling fees within two months. As of now, no progress has been reported.