Cabinet approves production of motor driven vehicles in Thailand
Minister of Industry revealed that the cabinet approved production of motor driven vehicles in Thailand.
March 28, 2017, at 1550hrs, at the Government Press Center, Naree Smosorn Building, Government House, following the cabinet meeting chaired by Prime Minister Gen. Prayut Chan-o-cha, Minister of Industry Uttama Savanayana disclosed that the cabinet approved production of motor driven vehicles in Thailand, as proposed by Ministry of Industry, and assigned concerned agencies to expedite implementation of related measures to support production of motor driven vehicles in a tangible manner.
According to the Industry Minister, integrative and comprehensive efforts must be undertaken, i.e., investment promotion to create supplies, stimulation of domestic demands, infrastructure development, motor vehicle standard development, management of used batteries, and many others, in order to promote Thailand as production base of motor driven vehicles.
With regard to investment promotion to create supplies, BOI has made approval on March 24, 2017 to promote investment of electric vehicles and parts production, and electric vehicle charging station. Types of electric vehicles to be promoted are Hybrid Electric Vehicle (HEV), Plug-In Hybrid Electric Vehicle (PHEV), and Battery Electric Vehicle (BEV), both for cars, pickups, and buses. BOI also sets promotion criteria for package proposal including manufacturing of vehicles and parts, BMS, DCU, management of used batteries, and development plan for domestic auto-part producers. Ministry of Finance, through Excise Department, has also proposed for cabinet’s approval special excise tax rates for Hybrid Electric Vehicles, and Plug-In Hybrid Electric Vehicles.
On stimulating domestic demands, the cabinet has made approval for government agencies and state enterprises to procure BEV, and for concerned agencies to consider increasing the use of PHEV and BEV for servicing purposes, such as in airports, Eastern Economic Corridor (EEC), historical parks, etc.
Ministry of Industry will take an important role in the development of infrastructure. National Tyre and Automobile Testing Center will be set up in Chachoengsao province with an aim for Thailand to become value-based economy and future investment hub for automobile industry. The Center will be opened in March 2018. In the meantime, Thai Industrial Standards Institute has made announcement for standardization of plug and socket outlets of electric vehicles.
Measures to promote production of motor driven vehicles, or the next-generation automotive, will propel the country toward Thailand 4.0 to become a value-based economy. They will also foster investment in downstream industries, such as plastics, petrochemicals, and electronics.
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