KBANK Supports Adjusting Excise Tax on Electric Vehicles to 35% to Aid Thai SMEs

Key summary

Kasikornbank (KBANK) has expressed its support for the government's policy of increasing the excise tax rate on imported electric vehicles (EVs) from 10% and 15% to 35%, effective January 1, 2027. The bank believes that this measure will help support SMEs in the automotive manufacturing supply chain, stimulate investment and employment, and create a balance in market competition. Mr. Jongrak Ratanapian, President of Kasikornbank, stated that this issue is important and that the government is paying attention to it, with the Deputy Prime Minister already providing explanations to relevant parties. While Chinese EV manufacturers may prefer lower tax rates, the national impact will have a positive effect on the Thai economy in many dimensions.