Thailand: Excise tax and customs incentives for electric vehicles

Measures to implement electric vehicle tax and customs incentives for 2022-2025

Measures to implement electric vehicle tax and customs incentives for 2022-2025

Governmental departments (including the Ministry of Finance and the Excise Department) announced measures to implement the electric vehicle tax and customs incentives for 2022-2025. The aim of these electric vehicle incentives is to stimulate demand for electric vehicles and equalize the price of these vehicles against that of internal combustion engine vehicles.

The electric vehicle incentives package covers three types of vehicles: passenger cars, motorcycles, and pick-up trucks.

The incentives generally consist of customs duty reductions, excise tax reductions, and excise tax subsidies. The incentives available are based on the battery size and the suggested retail price of the vehicles.

  • The customs duty incentives range from a reduced import duty rate of 40% (from 80%) to a full exemption from import duty.
  • The excise tax incentives include a reduction to 2% (from 8%) for passenger cars and 0% for pick-up trucks.
  • An excise subsidy package is available for certain electric motorcycles, pick-up trucks, and passenger cars and is applicable to both imported and domestically produced electric vehicles (for pick-up trucks, the subsidy is only available with regard to domestically produced vehicles).

Read a May 2022 report prepared by the KPMG member firm in Thailand


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