In brief
Thailand announced a jump in import excise tax on battery‑electric and range‑extended electric vehicles from the current 10% and 15% to 35% effective 2027. The move is designed to level the playing field for domestically built cars, attract investment in local EV production, and create jobs in the supply chain. Deputy Prime Minister and Finance Minister Ekniti Nitithanprapas said the policy would strengthen Thailand’s production chain and position it as a regional green vehicle hub.
Thailand will raise the excise tax on fully‑imported battery‑electric vehicles (BEVs) and range‑extended electric vehicles (REEVs) to 35% on 1 January 2027, up from the current 10% for BEVs and 15% for REEVs. The decision was approved by the cabinet in a meeting held in Udon Thani.
BEVs run solely on battery power and electric motors, while REEVs use a combination of fuel and electric power and can be plugged in for electric‑only driving. The new tax applies only to cars imported in completely built‑up (CBU) form.
Ekniti Nitithanprapas, Deputy Prime Minister and Finance Minister, said the cabinet had approved the change at the Udon Thani meeting.
Ekniti Nitithanprapas said the goal is to strengthen the production chain, create jobs for Thai workers, and upgrade their skills, positioning Thailand as a regional and global hub for green vehicle manufacturing.
The policy follows guidance from the National Electric Vehicle Policy Committee and the Finance Ministry. It aims to make competition fairer for vehicles built in Thailand and to encourage investment in local EV production.
By raising the import tax to 35%, Thailand expects to boost production and employment throughout the supply chain, enhancing the competitiveness of its auto and parts industry. The move is also intended to attract foreign investment in green vehicle manufacturing and help the country become a leading regional hub for electric mobility.