On February 21, Thailand approved a series of new incentives for companies converting their truck and bus fleets to using battery electric vehicles.
Thailand is trying to maintain its position as a "cradle" of production to welcome the wave of electric cars in the region, similar to the long-standing situation with gasoline and diesel cars.
“This will significantly encourage the use of electric trucks and electric buses, thereby reducing pollution from the transport and manufacturing sectors, and supporting companies to achieve net zero emissions targets ", the Government's announcement clearly stated.
The new supports come in many different forms. The highlight is a special tax deduction for qualified companies (valid until December 2025).
Accordingly, businesses buying domestically produced cars can request to deduct costs twice the actual price of the car, without setting a price ceiling. For imported vehicle purchases, the deduction will be 1.5 times the actual price of the vehicle.
Next is cash grants for electric vehicle battery component manufacturers. Bangkok stated that policy support will strengthen Thailand's position as an electric vehicle production center.
The new move continues efforts to promote Thailand's electric vehicle economy. The country aims to convert 30% of its annual output of 2.5 million vehicles into electric vehicles by 2030.
Tax cuts and subsidies recently introduced by Thailand have attracted a host of Chinese automakers, including BYD and Great Wall Motor which have pledged to invest $1.44 billion in production facilities. new export in Southeast Asia's second largest economy.
According to experts, this will be a big change in the context that the world's 10th largest auto manufacturing economy has for decades been largely dominated by Japanese companies such as Toyota and Honda, which use Thailand serves as the main production and export base.
Source: Hà Nội Mới
