Thailand Raises Import Tax on Electric Vehicles to 35 Percent
The Thai cabinet increased the excise tax on fully imported electric vehicles from 10 to 35 percent to encourage local manufacturing.
The Cabinet of Thailand approved an increase in the excise tax on fully imported electric vehicles, raising the rate from 10 percent to 35 percent. The new tiered tax structure is scheduled to take effect on January 1, 2027.
Finance Minister Ekniti Nitithanprapas stated the measure is designed to protect existing investors who have already established supply chains and manufacturing plants within the country. The policy also intends to pressure automakers that currently rely on imports to build local production facilities.
This shift follows a significant increase in electric vehicle adoption. According to the Federation of Thai Industries, new registrations for electric vehicles and motorcycles rose 89.7 percent in September 2026 compared to the previous year. Total registrations for the first nine months of 2026 reached 191,273 units.
