At major border trade hubs such as Khorgos, the market structure of new energy vehicle exports is undergoing significant changes. As buyer demand in Central Asia and the Middle East becomes increasingly diversified, plug-in hybrid electric vehicles (PHEVs) and extended-range electric vehicles (EREVs) are emerging as fast-growing vehicle categories, thanks to their adaptability to local conditions and cost efficiency.

01 Central Asian Markets: A Natural Choice Driven by Harsh Winters and Cross-City Infrastructure 

The practicality of new energy vehicles in Central Asia largely depends on their ability to cope with harsh winter conditions and long-distance intercity travel.

Highly concentrated charging infrastructure: Kazakhstan has 642 public EV charging stations nationwide, of which 400 are located in Almaty and only 54 in Astana, the capital. Outside major cities, charging coverage along intercity routes remains limited, making long-distance travel more challenging.

Reduced driving range in low temperatures: Some parts of Central Asia experience extremely cold winters. Low temperatures, cabin heating and battery preconditioning all increase vehicle energy consumption, reducing the actual driving range of pure electric vehicles. There is no fixed standard for winter range reduction, as actual performance varies depending on vehicle models, battery types, thermal management systems, ambient temperatures and driving habits.

Demand for versatile vehicles: Local households often need vehicles that can accommodate daily commuting, long-distance family visits, household transportation, and the transportation of agricultural supplies and farm produce. The inability to travel reliably during winter can directly influence purchasing decisions.

Competitive advantages of hybrid vehicles: With the ability to reduce daily operating costs through electric driving while relying on fuel for longer journeys, hybrid vehicles offering a combined driving range of over 800 km are attracting growing interest among local buyers.

02 Policy Environment and Market Demand: Two Key Drivers

In addition to natural conditions, import tariff policies, market supply and demand, and charging infrastructure development in target countries are also influencing the acceptance and export potential of hybrid vehicles. For cross-border automotive traders, accurately assessing applicable policies, import costs and local consumer demand is essential when selecting export models.

1. Kazakhstan: Differences in Tariff Policies Affect Vehicle Export Costs

Import tariffs on new energy vehicles in Kazakhstan must be assessed according to vehicle powertrain configuration, TN VED commodity codes and the policies in effect at the time of import.

Kazakhstan's 2025 preferential import tariff quota for 15,000 pure electric vehicles was fully used by October 14 of that year. This preferential quota was not renewed for 2026. The electric vehicle tariff preferences under Eurasian Economic Commission (EEC) Decision No. 111 apply to Belarus, Armenia and Kyrgyzstan, but not Kazakhstan.

Therefore, pure electric vehicles (BEVs), plug-in hybrid electric vehicles (PHEVs) and extended-range electric vehicles (EREVs) exported to Kazakhstan must each be assessed individually to determine their customs classification and applicable tariff rates. Preferential policies granted to other EAEU member states should not be automatically applied.

In markets where charging infrastructure remains unevenly distributed and long-distance travel is common, EREVs may offer certain advantages through their fuel-based energy replenishment capability. However, their export competitiveness must still be evaluated in light of actual import duties, procurement costs and local market demand.

For cross-border automotive traders, vehicle selection should not be based solely on end-market demand. Import duties, customs classification and total landed costs must also be incorporated into procurement decisions.

2. Middle Eastern Markets: Opportunities amid Divergence between Interest and Stock

In some parts of the Middle East, summer temperatures are extremely high, placing greater demands on battery thermal management systems in pure electric vehicles. By comparison, hybrid vehicles combine fuel-based refueling convenience with electric driving capabilities, making them suitable for certain local driving conditions.

According to market data from CarSwitch, a used-car trading platform in the UAE:

Demand: Approximately 25% of platform search interest is directed toward hybrid vehicles.

Supply: Hybrid vehicles account for approximately 1% of vehicle listings on the platform.

Market composition: More than 95% of vehicles listed on the platform are conventional gasoline-powered vehicles.

The approximately 24-percentage-point difference between hybrid search interest and listing share highlights a noticeable gap between consumer search interest and available inventory on the platform. However, this data reflects the platform's own market activity and should not be interpreted as representative of the entire UAE automotive market.

As hybrid vehicles entered the local market relatively late and used-car ownership cycles tend to be lengthy, the supply of used hybrid vehicles is still developing. This creates potential opportunities for exporters with stable supply channels and access to suitable vehicle models.

03 Export Operations: Vehicle Sourcing and Customs Clearance Considerations 

Understanding Customs Policies and Vehicle Classification

Compliance Reminder:

Before purchasing vehicles for export, traders should verify vehicle specifications, TN VED commodity codes and import customs clearance procedures, and calculate applicable duties and overall import costs in advance. Final customs classification and tax treatment are subject to applicable regulations and the determination of the Kazakh customs authorities.

Key Volume Models for Central Asian Markets

The BYD Song PLUS DM-i, for example, is a plug-in hybrid model that combines electric driving for daily commuting with a gasoline engine for longer journeys. It has attracted considerable inquiry interest in the region.

Hybrid Models of Interest in the Middle East

The Toyota C-HR Hybrid has established brand recognition in the UAE used-car market. Meanwhile, the Toyota Camry Hybrid continues to see demand in fleet procurement across Gulf countries.

(Note: Market prices fluctuate according to vehicle specifications, production schedules, exchange rates and order volumes. Any pricing information provided does not constitute a formal quotation or binding offer.)

04 After-Sales Support: Adapting to Overseas Infrastructure Conditions 

After-Sales Challenges for Pure Electric Vehicles: Battery cell inspection, module repair and battery pack replacement rely heavily on original equipment manufacturer (OEM) diagnostic tools and specialized technical training. Relevant supporting service networks in target markets are still at an early stage of development.

After-Sales Advantages of Hybrid Vehicles: Mechanical components such as engines, transmissions and braking systems can generally be serviced by local repair workshops with established maintenance capabilities. However, the impact of a battery-related fault on vehicle operation depends on the nature of the fault and the vehicle's safety protection strategy. This highlights the importance of evaluating local maintenance capabilities and after-sales support when exporting hybrid vehicles.

05 Responding to Real Market Demand and Identifying Commercial Opportunities 

Countries such as Uzbekistan are actively promoting the expansion of EV charging infrastructure, with a target of building 4,000 charging stations by the end of 2026. The long-term market potential of pure electric vehicles therefore remains promising.

However, from the perspective of current cash flow and profitability, hybrid vehicles offer several practical advantages: they do not depend entirely on the development of public charging infrastructure, can better accommodate long-distance travel through fuel-based refueling, and may have lower dependence on specialized EV service networks in certain maintenance scenarios. These factors make them a potentially competitive export option under current market conditions.

Adjusting procurement strategies based on genuine market demand and actual transaction trends is essential for cross-border automotive traders seeking sustainable growth in international markets.

Data Sources

Kazakhstan's Charging Infrastructure and Winter Driving Conditions: Official statistics from the Ministry of Transport of Kazakhstan; industry research materials from the Kazakhstan Automobile Union (KAA).

Tariff Policies and Customs Classification: Relevant resolutions of the Eurasian Economic Commission (EEC); official customs clearance regulations published by the State Revenue Committee of Kazakhstan (KGD).

UAE Used Hybrid Vehicle Supply and Demand: CarSwitch Market Insights (platform market data).

Hybrid Vehicle Market Pricing: Quotation data from parallel-import vehicle traders at border ports and publicly available used-car listings across the GCC region.

Uzbekistan's EV Charging Infrastructure Plans: Relevant 2026 development plans of the Government of Uzbekistan.

Disclaimer: The policy analysis, customs classification guidance and market information contained in this article are provided for industry communication and business reference purposes only. Actual customs classification and import duties in export transactions are subject to applicable regulations and the final determination of the Eurasian Economic Commission (EEC) and the customs authorities of the destination country, based on the relevant TN VED/HS Code. Market conditions and prices are subject to change and do not constitute any legally binding quotation, commitment or guarantee.