BOI approves new EV incentives package plus projects worth Bt35bn

[webfact]

BOI approves new EV incentives package plus projects worth Bt35bn

By THE NATION

 

PM Prayut Chan-o-cha chairs the Board of Investment meeting on Wednesday.

 

The Board of Investment (BOI) on Wednesday approved a package of incentives for Thailand’s electric-vehicle (EV) manufacturing supply chain, with a focus on critical parts including batteries.

 

The board also approved EV-related projects worth Bt35.7 billion in several sectors.

 

After a board meeting chaired by PM Prayut Chan-ocha, BOI secretary-general Duangjai Asawachintachit said the package would accelerate the development of EV production in Thailand and allow the sector to move into higher gear.

 

The EV incentive measures replace the first package which expired in 2018.

 

They cover cars, buses, trucks, motorcycles and ships.

 

Cars: Corporate tax holidays of three years for plug-in hybrid (PHEV) projects and eight years for battery electric (BEV) projects with at least Bt5 billion invested – extendable for R&D investment in BEV. Projects worth less than Bt5 billion are eligible for three-year tax holidays – extendable for BEV projects that start by 2022, produce additional parts, produce at least 10,000 units within three years, or invest in R&D.

 

Motorcycles, three-wheelers, buses and trucks: Three-year tax holiday, extendable under certain conditions.

 

Electric-powered ship production projects, for vessels with less than 500 gross tonnage, are eligible for eight years of corporate income tax exemption.

 

The BOI also added four more components to its list of critical EV parts – high voltage harness, reduction gear, battery cooling system and regenerative braking system. Manufacturers of these components all receive eight-year corporate tax exemptions. To promote local EV battery production, the BOI approved additional incentives for the production of both battery modules and battery cells for the domestic market by granting a 90 per cent reduction of import duties for two years on raw materials not available locally.

 

The BOI has already approved 26 EV manufacturing projects with a combined production capacity of over 566,000 units per year. Five are for hybrid electric vehicles (HEVs), six for PHEVs, 13 for BEVs, and two for electric buses.

 

Seven have started commercial operations – Nissan, Honda and Toyota for HEVs; Mercedes Benz and BMW for PHEVs; and newcomers FOMM and Takano for BEVs.

 

The agency also approved 14 projects to make critical parts for EVs, including 10 battery production plants.

 

Source: https://www.nationthailand.com/news/30397338

 

-- © Copyright The Nation Thailand 2020-11-05

 

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[bodga]

How  about battery powered personal pleasure devices? just wondrin

[sammieuk1]

Thought the budget was blown and the country was skint must have found a fuse for the printing press again ????

[Grumpy John]

The big steps in battery development are being made elsewhere. One of the most promising developments is using Graphene in batteries.  I see Thailand as a hub of other peoples technology, same with the EV industry.  A place to manufacture as the likes of Isuzu, Ford and Toyota do now.  But if it means jobs that's OK!  With all industry becoming more automated all the time how many jobs is the question?

[RichardColeman]

I don't know much about electric cars and recharging them,  but can anyone confirm that Thailand won't lose about a million stool sitting, gas pump guarding, petrol station attendees when this eventually (if) rolls out. 

[bodga]

13 minutes ago, RichardColeman said:

I don't know much about electric cars and recharging them,  but can anyone confirm that Thailand won't lose about a million stool sitting, gas pump guarding, petrol station attendees when this eventually (if) rolls out. 

Theyll be  re employed at Home pro Thai watsadu  Global  house etc you wont need a tracking app as they  follow you everywhere  anyway

[Grumpy John]

10 minutes ago, RichardColeman said:

I don't know much about electric cars and recharging them,  but can anyone confirm that Thailand won't lose about a million stool sitting, gas pump guarding, petrol station attendees when this eventually (if) rolls out. 

The future for them is not so promising...but they get to keep their stools.  But their jobs are safe for another decade.  Most future EV's will be recharged from home...and the other thing is the battery of the future will have far more range than they have now.   But an EV pick-up will be out of the price range for a lot of Thai's.  If they have to choose between a top of the range diesel at larn baht and an EV at sam larn baht many will still go diesel.

 

Checkout the new for 2022 Hummer EV, it's a Doozy!   And only estimated to be US$110.000 for the base model.

[nobodysfriend]

4 hours ago, webfact said:

the package would accelerate the development of EV production in Thailand

Thailand is ideally placed to become a mayor EV producer . A lot of cars and trucks could be sold to Thais once the charging infrastructure is in place .

Need to teach them how to use and charge the vehicles ... Battery production for EV's can become a huge market soon . Better to jump on that train , before it leaves .

But that is a step in the right direction .

[canopus1969]

3 hours ago, RichardColeman said:

I don't know much about electric cars and recharging them,  but can anyone confirm that Thailand won't lose about a million stool sitting, gas pump guarding, petrol station attendees when this eventually (if) rolls out. 

They will be redeployed to plug the extension wire into the car

[hotchilli]

6 hours ago, bodga said:

How  about battery powered personal pleasure devices? just wondrin

One week tax exempt.

[hotchilli]

4 hours ago, Grumpy John said:

Checkout the new for 2022 Hummer EV, it's a Doozy!   And only estimated to be US$110.000 for the base model.

Like my old man said to me when I first saw a bike I wanted..." he said keep your eye on it coz you'll never get your ar*e on it"

same applies to Thais with this model.

[billd766]

5 hours ago, nobodysfriend said:

Thailand is ideally placed to become a mayor EV producer . A lot of cars and trucks could be sold to Thais once the charging infrastructure is in place .

Need to teach them how to use and charge the vehicles ... Battery production for EV's can become a huge market soon . Better to jump on that train , before it leaves .

But that is a step in the right direction .

How do you charge your EV when you live on higher floors of a condo?

[natway09]

The incentives should only be available for export techology & product.

Not much use in say, Bangkok having 150 electric buses when they plug them all in at night using energy from a dirty old coal burning power station.

Just moving the pollution from A to B + 5 to 10% energy loss for transfer friction 

[bodga]

13 hours ago, canopus1969 said:

They will be redeployed to plug the extension wire into the car

made out of  bell wire with a  two  pin plug, taped together

[Redline]

Need to do better than just reducing taxes for short periods.  There are many other reasons why companies don’t want to do business in Thailand.

It seems the entire country operates in taxes and loans

[Grumpy John]

16 hours ago, billd766 said:

How do you charge your EV when you live on higher floors of a condo?

Extra long extension cord?

[Litlos]

Great Wall who aquired the GM plant just happen to be interested in EV production in Thailand. Guess who is going to be the main benefactor of this?  CCP via Great Wall. At least the govt is consistent with their love of all things chinese.

 

Cheers