Incentives jolt Thai EV market with 25,000 sales expected this year
The Excise Department expects some 25,000 electric vehicles (EVs) to be snapped up this year under the government’s subsidy scheme.
It also said that 81 million baht of the subsidy funds have been disbursed so far this year.
Under the scheme, EV automakers are entitled to subsidies and cuts on import duties of up to 150,000 baht per vehicle priced below 2 million baht, and up to 800,000 baht on EVs going for more than 2 million baht.
Ekniti Nitithanprapas, Excise Department director-general, said on Friday that the department will disburse the second lot of 194.5 million baht of subsidy before year-end.
“This campaign will bring down the price of electric vehicles and boost the adoption rate in Thailand, which in turn will reduce emissions and bring the country closer to becoming a carbon-neutral society,” he said.
The Excise Department also signed an agreement with Mercedes-Benz Manufacturing (Thailand) on Friday under the EV subsidy scheme. The pact requires Mercedes to produce as many EVs in Thailand as they import until 2025.
Companies that have already signed such agreements include the Thai assembly units of Chinese automakers like MG and GWM as well as Japanese giants like Toyota and Thai EV maker Mine Mobility.
Assembly units of electric motorcycles like Thai Honda and Deco Green have also signed similar pacts.
Ekniti added that the Excise Department is in talks with US EV maker Tesla into joining the programme.