Thailand Finance Ministry Proposes Raising EV Import Tax to Protect Local Manufacturers

Key summary

The Thai Ministry of Finance plans to propose a significant increase in excise duties on fully imported electric vehicles (EVs) to the Cabinet within two weeks. The tax rate for EVs with no local content would rise from 10% to at least 30%, effective January 1, 2070. This measure aims to encourage foreign automakers to establish manufacturing plants in Thailand and protect domestic production bases. Industry representatives warn that the price hike could trigger a surge in pre-orders before the deadline, potentially distorting market dynamics and slowing sales in 2070.