Thailand launches new initiatives to support electric vehicles

Mondo Cars Updated on 2024-02-27

Thailand recently held the first meeting of the 2024 National Electric Vehicle Policy Committee, and released new measures to support the development of electric commercial vehicles such as electric trucks and electric buses, helping Thailand achieve its carbon neutrality goal as soon as possible. Under the new initiative, Thailand** will support eligible EV-related businesses through tax breaks. From the effective date of the policy until the end of 2025, companies that purchase electric commercial vehicles manufactured or assembled in Thailand can enjoy tax deductions corresponding to twice the actual price of the vehicle, and there is no restriction on vehicles**; Enterprises that purchase imported electric commercial vehicles can also enjoy the actual price of the vehicle15 times the corresponding tax deduction.

The new measures are mainly aimed at large commercial vehicles such as electric trucks and electric buses, and encourage companies to achieve net-zero emission targets. The Secretary-General of the Board of Investment of Thailand, Nari Tesatilasa, said that this will further strengthen the construction of Thailand's electric vehicle ecosystem and consolidate Thailand's position as an electric vehicle manufacturing hub in Southeast Asia.

The meeting approved a series of investment promotion measures to support the construction of energy storage systems for electric vehicles, such as subsidies for battery manufacturers that meet the standards, to attract more battery manufacturers with advanced technology to invest in Thailand. The new measures also supplement and adjust the incentives for the development of electric vehicles in the new phase. For example, the scope of electric vehicles eligible for car purchase subsidies will be expanded to passenger cars with a capacity of 10 or less passengers, and subsidies will be provided to eligible electric motorcycles.

Thailand's current EV incentives, released in the fourth quarter of 2023, will provide consumers who purchase EVs from 2024 to 2027 with a subsidy of up to 100,000 baht (US$1 or 36 baht) per vehicle. In order to achieve the goal of electric vehicles accounting for 30% of Thailand's vehicle production by 2030, Thailand** will reduce import duties and consumption taxes on finished vehicles for eligible foreign automakers between 2024 and 2025, and require them to produce a certain number of electric vehicles locally in Thailand. Thailand*** From 2023 to 2024, Thailand's electric vehicle imports will reach 1750,000 units, which is expected to further stimulate domestic EV production, and Thailand is expected to produce 350,000 to 520,000 by the end of 202650,000 electric vehicles.

In recent years, Thailand has continued to roll out measures to encourage the development of electric vehicles, and has achieved certain results. In 2023, more than 760,000 units, a significant increase from 9,678 units in 2022;In 2023, the number of new registrations of various types of electric vehicles in Thailand will exceed 100,000, a year-on-year increase of 380%. Krisda Utamot, president of the Electric Vehicle Association of Thailand, said that in 2024, electric vehicle sales in Thailand are expected to rise further, and the number of registrations may reach 150,000 units.

In recent years, many Chinese car companies have invested and set up factories in Thailand, and Chinese electric vehicles have become a new choice for Thai consumers. According to statistics, in 2023, the sales of electric vehicles of Chinese brands will account for 80% of the market share of electric vehicles in Thailand, and the three most popular electric vehicle brands in Thailand are all from China, namely BYD, SAIC MG and Nezha Automobile. Jiang Sa, president of the Thai Automotive Research Institute, said that in recent years, China's electric vehicles have become increasingly popular in the Thai market, increasing the popularity of electric vehicles, and Chinese car companies investing in Thailand have also brought batteries and other supporting industries, driving the construction of the electric vehicle industry chain, which will help Thailand become the leading electric vehicle market in ASEAN.

BANGKOK, Feb. 26 (Xinhua) --

*: People's Daily Online, People**.

Related Pages