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In recent days, one of the most discussed topics on social media has been the tax exemption for hybrid cars. As the end of 2025 approaches, the question of whether these exemptions will be extended is causing serious concern for both car buyers and market sellers.
🧾 What’s happening?
Currently, in Azerbaijan, hybrid cars with a manufacturing date of less than 3 years and engine capacity not exceeding 2500 cm³ are exempt from Value Added Tax (VAT) for import and sale.
However, this exemption expires at the end of the year, raising the question:
“Will the exemption be extended, or will hybrid cars become more expensive from 2026?”
💬 Expert opinion: “Decision will be made in the second half of the year”
Economist Vugar Bayramov told Oxu.Az that the main purpose of these exemptions is to accelerate the import of hybrid cars into the country.
He noted:
“Changes are made to the Tax Code every year. In these changes, either the duration of existing exemptions is extended, or new exemptions are introduced.
The same process is expected in 2026.
Whether the exemption for hybrid cars will be extended or not will be known in the second half of the year.”
Thus, there is no official decision yet, but hopes remain that the exemption will not be completely canceled.
🚗 Price increase possibility: Who will be affected?
According to the expert, the cancellation of exemptions will mainly affect new and relatively new cars.
“This exemption was not applied to older cars from the beginning, so prices in that segment may remain stable,” Bayramov said.
If the VAT exemption is not extended, import costs will rise, which will directly affect sales prices.
The percentage of price increase will depend on the car model and market value, but experts say a general trend of price growth seems inevitable.
⚙️ Conclusion: All eyes on the Tax Code again
Everything depends on the upcoming changes to the Tax Code. If the exemption period is extended, market stability for hybrid cars will be maintained.
Otherwise, price increases from 2026 appear unavoidable.
