Economy
Thailand’s EV Board Approves New Excise Tax Structure to Boost Local Production
The National Electric Vehicle Policy Committee has approved a new excise tax framework designed to incentivize local manufacturing and the use of domestic components.
On September 10, 2026, the National Electric Vehicle Policy Committee (EV Board), chaired by Deputy Prime Minister and Finance Minister Ekniti Nitithanprapas, approved a new excise tax structure for electric vehicles. According to Narit Therdsteerasukdi, Secretary-General of the Board of Investment (BOI), this policy aims to transition Thailand into a global production hub for various automotive technologies.
The new framework is built on five core principles: linking imports to actual domestic production, establishing Thailand as an EV export center, increasing the use of high-value local components, ensuring fair competition between imported and locally produced vehicles, and strengthening the domestic supply chain. Under these guidelines, imported EVs from companies without local manufacturing facilities will face higher tax rates. Conversely, manufacturers with local bases may be granted import quotas for market testing based on their economic contribution. Vehicles produced domestically will receive tax benefits scaled according to their level of local content, particularly regarding critical electronic components.
For residents and travelers, this shift may influence the future availability and pricing of EV models in the Thai market as manufacturers adjust their strategies to meet these new requirements. While the board has approved the principles, specific tax rates and the timeline for full implementation remain to be finalized and officially gazetted.
