A deep dive into Thailand’s perks for electric vehicles

[webfact]

Thailand will soon have electric vehicles perks including tax breaks. Here’s a deep dive

 

By Dashveenjit Kaur

 

● The government, to promote electric vehicles, approved an array of incentives, including lower excise tax and import duties on significant auto parts.

 

● Excise tax on imported EVs will be reduced to 2% from 8%, and that is expected to add 7,000 EVs in the first year.

 

● Eligible car manufacturers will also receive subsidies of between 70,000 baht and 150,000 baht for each EV and 18,000 baht for electric motorcycles.

 

Lately, in tune with other countries around the world, Thailand has been gearing up to push for more electric vehicles on the road. The country has even set a bold goal of selling only zero-emission vehicles from 2035 onwards. With that, came a flurry of perks by the government, for the Thai EV market. Just this week, officials announced tax incentives to spur the adoption of clean vehicles.

 

Basically, the objective for Thailand is to transform itself from being the Southeast Asian hub for the production of conventional autos to one making electric vehicles.

 

As it is, the automotive industry is one of Thailand’s most important sectors. It contributes to about 10% of the economy, employs 850,000 workers, and supports industries from iron and steel to petrochemicals and plastic.

 

Full story: https://techwireasia.com/2022/02/a-deep-dive-into-thailands-perks-for-electric-vehicles/

 

-- © Copyright TECHWIRE ASIA 2022-02-25

 

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[KhunLA]

So the manufacturers are getting the subsidies, not the end customer.

 

So 2% excise tax instead of 8.  So maybe a 75k savings of 1.2 mill price point, such as the MG ZS.

 

Not much of a motivation.   Make 20% and you may get a few more buyers.

Edited February 25, 2022 by KhunLA

[hotchilli]

4 hours ago, KhunLA said:

So the manufacturers are getting the subsidies, not the end customer.

 

So 2% excise tax instead of 8.  So maybe a 75k savings of 1.2 mill price point, such as the MG ZS.

 

Not much of a motivation.   Make 20% and you may get a few more buyers.

Maybe the manufacturer will pass on some of the savings to the customer?

[digger70]

8 hours ago, webfact said:

The country has even set a bold goal of selling only zero-emission vehicles from 2035 onwards.

That's all good and well. Where are they going to get Zero-Emission Electricity from ? from Mars?

[Srikcir]

There is already no Thailand import tax for EVs coming from China under an existing bilateral agreement between Thailand and China. 

EVs would include Telsa models made in China. Some which are already delivered to Thailand.

[placeholder]

3 minutes ago, digger70 said:

That's all good and well. Where are they going to get Zero-Emission Electricity from ? from Mars?

 

Misleading posts criticize electric cars over coal-produced power

Posts on social media suggest electric cars do not help lower climate-changing emissions because people rely on coal power to charge them. This is misleading; data shows that they still produce fewer emissions over their lifespan than gasoline-powered vehicles, even in regions where coal is burned to produce electricity for the grid. 

https://factcheck.afp.com/doc.afp.com.9ZD7BV

 

YSE Study Finds Electric Vehicles Provide Lower Carbon Emissions Through Additional Channels

But a recent study from the Yale School of the Environment published in Nature Communications found that the total indirect emissions from electric vehicles pale in comparison to the indirect emissions from fossil fuel-powered vehicles. This is in addition to the direct emissions from combusting fossil fuels — either at the tailpipe for conventional vehicles or at the power plant smokestack for electricity generation — showing electric vehicles have a clear advantage emissions-wise over conventional vehicles.

“The surprising element was how much lower the emissions of electric vehicles were,” says postdoctoral associate Stephanie Weber. 

https://environment.yale.edu/news/article/yse-study-finds-electric-vehicles-provide-lower-carbon-emissions-through-additional

[KhunLA]

Even without an import tax, cars from China seem to be about 2X the price here.  Someone is having a laugh.

[hmhthai]

a charging station in the states. It's joy:

 

[Puccini]

1 hour ago, digger70 said:

That's all good and well. Where are they going to get Zero-Emission Electricity from ? from Mars?

Unfortunately, more coal-fired power plants are planned.

 

https://th.boell.org/en/2018/05/11/coal-situation-thailand-and-strategic-environmental-assessment

 

Would solar energy production not be economical?

[mrfill]

2 hours ago, hotchilli said:

Maybe the manufacturer will pass on some of the savings to the customer?

For 75k off 1.2 mill? Oh, its hardly worth it for them - may as well keep it for themselves.....

[placeholder]

2 minutes ago, Puccini said:

Unfortunately, more coal-fired power plants are planned.

 

https://th.boell.org/en/2018/05/11/coal-situation-thailand-and-strategic-environmental-assessment

 

Would solar energy production not be economical?

The problem may be that the fuel is free so no commissions.

[KhunLA]

2 hours ago, mrfill said:

For 75k off 1.2 mill? Oh, its hardly worth it for them - may as well keep it for themselves.....

Lower excise tax should be passed on to the consumer.  It's the other subsidies that do and don't make sense.  An upstart may need the influx, but not estatblished manufacturers already pushing out EVs. 

 

People aren't buying here because of the high price vs ROI over long term use of ICE.  If you dont rack up the kms, your ROI isn't coming for some time, well past that standard 8 yr battery warranty.

[SAFETY FIRST]

On 2/25/2022 at 6:26 AM, webfact said:

Thailand has been gearing up to push for more electric vehicles on the road. 

I'd like to know the laws required, registering and licensing for electric motorcycle. 

 

I've seen some nice looking bikes (2000 watt) on lazada, Shopee etc but no green book. 

 

I'd still keep my PCX, just jump on the ebike for a quick spin down to the beach and back. 

[KhunLA]

I've peeked at those, and yet to see a dealer that will register them.

 

Which I'm sure as you probably suspect, is an invitation to be stopped every time noticed, which would be alot.   Quite like the styling myself.  Battery on most are c r a p though, low spec'd.

 

And yes, it MUST BE REGISTERED no matter what the dealer says, as know one dealer on an southern Gulf island that states it's not necessary to .....

... BS

Edited February 27, 2022 by KhunLA

[Bandersnatch]

On 2/27/2022 at 5:26 AM, SAFETY FIRST said:

I'd like to know the laws required, registering and licensing for electric motorcycle. 

Can't comment on this brand of Electric Bikes but here in Surin they have an assembled in Thailand Taiwan Electric bike shop that we visited. They had one bike registered that could be test driven.

 

 

 

 

 

 

 

[Bandersnatch]

Here is a YouTube reviewer test riding one of the bikes above.

 

 

[SAFETY FIRST]

2 minutes ago, Bandersnatch said:

Can't comment on this brand of Electric Bikes but here in Surin they have an assembled in Thailand Taiwan Electric bike shop that we visited. They had one bike registered that could be test driven.

 

 

 

 

 

 

 

Thanks for the info. 

 

KhunLA in another post mentioned these bikes. 

 

Cheers 

[Bandersnatch]

Here is there website:

 

https://decogreenenergy.com/index.php/en/

 

 

Edited February 28, 2022 by Bandersnatch

[JonnyF]

They should push the electric motorbikes harder IMO. Get the ball rolling with something easy.

 

They are very practical here. They are easier to charge than cars and most Thais don't do really long daily commutes so they could charge them from their homes overnight in a lot of cases.

 

I remember visiting Qingdao for business about 10 years ago and was amazed that so many of the motorbikes were electric. It really made for a nice, quiet, clean feeling to rush hour. 

 

Unfortunately here in Thailand they will probably make the laws surrounding them ambiguous, leading to lots of fines from the police, insurance companies not paying out, people wary of buying them etc.

[KhunLA]

3 hours ago, JonnyF said:

They should push the electric motorbikes harder IMO. Get the ball rolling with something easy.

 

They are very practical here. They are easier to charge than cars and most Thais don't do really long daily commutes so they could charge them from their homes overnight in a lot of cases.

 

I remember visiting Qingdao for business about 10 years ago and was amazed that so many of the motorbikes were electric. It really made for a nice, quiet, clean feeling to rush hour. 

 

Unfortunately here in Thailand they will probably make the laws surrounding them ambiguous, leading to lots of fines from the police, insurance companies not paying out, people wary of buying them etc.

They do have 2 brands readily available, though a hard sell, if primary transport, as half the year has 'rainy'  season.  Water & electric ...  even if waterproof (mine is not) it's a hard sell to the locals who are already paranoid about anything electric.

 

One brand will actually run under water.  They could definitely make it easier for imports, but, apparently not a priority with the elite who don't use, but rule.

 

 

Edited February 28, 2022 by KhunLA

[KhunLA]

With petrol prices continually on the rise.  Thankfully our ZS is designed for E85.

Jan 2021 was at 18 ish baht, now over 28 ish baht.  Just awaiting the 2022 ZS EV 

to be available as ROI is getting shorter with every petrol price increase.

 

Ballpark ROI if @ 30 or 35 baht per liter:

MG ZS ฿800K  EV ฿1.2m = 400K w/ no incentive

 

Petrol 180k kms @ ฿30 / L = ฿491k  (@ 11 kpl (accurate)
Petrol 180k kms @ ฿35 / L = ฿573k
9 oil changes @ ฿2k = ฿18k
ICE tune ups & timing belt = ฿100k +/- (conservative estimate)

 

฿400k vs ฿609-691k over the warranty period of 180 kms

[KhunLA]

More charging stations coming online by years end.  Article emphasis on 

the fast charging stations, and at link, availability of 700 kms any direction

from Krung Thep metro.

 

"Egat to have 57 EV charging stations nationwide in first half of 2022

The Electricity Generating Authority of Thailand (Egat) will open 17 more electric vehicle (EV) charging stations in different parts of the country within the first half of this year, a senior Egat official said on Monday.  

 

Warit Ratanchuen, assistant governor of the Egat Project Management Office, said with the 17 new stations, Egat will have a total of 57 EV charging stations.

 

Egat recently brought its total number of charging stations up to 40 by opening 12 new ones under the brand EleX by Egat in PT petrol stations. He said the EleX by Egat stations use dynamic load type chargers and each charger has both a DC Fast Charge function – which can charge up to 125kW in 15 to 30 minutes – and the AC normal charge.

https://www.nationthailand.com/business/40012863

 

These to be added to the already extensive charge stations availble:

 

 

 

[SteveAZ]

The intial government interest in EV's is not to solve climate change but to reduce emissions in congested cities. Cities that have significant air pollution issues. Utility scale Power generation is generaly well away from city centers. I own an EV and clearly they will eventually replace internal combustion engines vehicles (ICE) they use less than half the parts of an ICE. It will be interesting to see the change over but that will only occur when charging stations become readily available in Thailand. 

[Greenside]

OK, so it's a year on, but the first (as far as I know) EGAT Elex charging station has appeared in Chiang Mai city, on Huay Kaew road near to Maya mall. This one seems to be BMW branded so I guess they're selling ad space as well as power. Not yet operational by the look of it but along with the units sprouting up in every other PTT station it's a definite step in the right direction.  I've now got an MG4 on order and starting the adventure into covering the house in solar panels so 2023 looks like being interesting.  Any thoughts on how feasible a Chiang Mai - Surin trip might be in early March?

Edited January 19, 2023 by Greenside
An afterthought...