Thailand EV Board Approves EV Incentive Program For Commercial Trucks, Buses

The National Electric Vehicle Policy Committee (EV Board) of Thailand recently approved financial grants for EV battery cell manufacturers as well as incentives to encourage businesses to switch to battery electric vehicles (BEVs) for their large truck and bus fleets.

The two laws will strengthen the nation's position as a hub for EV manufacturing and broaden its support for the entire EV ecosystem.

Thailand is the leading automotive producer in the ASEAN and is among the top 10 globally in terms of both total automotive exports and automotive production. With respect to EVs, Thailand is leading Southeast Asia in offering incentives to both the supply and demand sides. The 30@30 policy has established a specific goal, which calls for at least 30% of Thai-made cars to be EVs by 2030.

Companies that qualify for this program will receive a special tax deduction that will encourage the use of electric buses and trucks. This program will remain in effect until December 31, 2025. Businesses that purchase domestically produced automobiles will be able to write off expenses equal to twice the vehicle's actual cost, with no upper price cap. The deduction for imported car purchases will be equivalent to 1.5 times the vehicle's actual cost.

Electric trucks for commercial use, such as container trucks, liquid trucks, hazardous material trucks, special trucks, tow trucks, and electric buses, both air-conditioned and non-air-conditioned vehicles, are among the large electric vehicles that qualify for the incentives.

The meeting also approved a plan to encourage the production of battery cells for electric vehicles (EVs) and energy storage systems (ESS) in Thailand by offering financial assistance through the nation's Competitiveness Enhancement Fund, as well as potentially other benefits granted to qualifying companies under the Competitiveness Enhancement Act.