Thailand approves RM 364.1 million tax incentive for EVs - price cut by up to RM 18,700 per EV

Thailand’s Cabinet has approved a 2.92 billion Baht (~RM 364.1 million) subsidy package to boost sales of battery electric vehicles (battery EVs). The move is part of the government’s move to make Thailand an EV manufacturing hub for South East Asia.

The subsidy will cut prices of new battery EV models by around 18,000 Baht to 150,000 Baht (~RM 2,200 to ~RM 18,700), applicable to both locally assembled (CKD) and imported (CBU) models, including pick-up trucks and motorcycles.

The subsidy will be given based on the vehicle’s battery capacity and selling price.

For passenger cars, the qualifying criteria is a battery capacity of at least 10 kWh.

Models between 10 kWh to 30 kWh will get a 70,000 Baht (~RM 8,700) subsidy, while models that are over 30 kWh and has a selling price of less than 2 million Baht (~RM 249,500) will get 150,000 Baht (~RM 18,700) in subsidy.

Electric pick-up trucks are not a mainstay in Thailand yet, but should a manufacturer launch one, the model, will benefit from a 150,000 Baht (~RM 18,700) subsidy. The minimum battery capacity is 30 kWh.

Electric motorcycles priced up to 150,000 Baht (~RM 18,700) will also receive an 18,000 Baht (~RM 2,200) subsidy.

CKD and CBU vehicles will enjoy the same incentives.

The incentive will continue until the 2.92 billion Baht (~RM 364.1 million) budgeted is used up.