Electric vehicle market in Thailand - statistics & facts
Thailand aims to produce 100 percent of battery electric vehicles (BEVs) sold domestically by 2035. Could the death of internal combustion engines in Southeast Asia’s leading car producer come sooner than expected? The Thai government has set ambitious goals for the coming years in terms of electrification of its mobility industry and, as part of this, has implemented a number of incentives and policies, such as exemptions from excise taxes, to support this goal. The electric vehicle (EV) market in Thailand is still in its early stages of development, but it has the potential to grow significantly in the future.
In order to successfully transition from a country primarily reliant on ICE vehicles to one that primarily uses BEVs, it is important to develop a robust charging infrastructure. In 2023, Chinese original equipment manufacturer BYD released new, moderately priced EV models, providing BEVs at highly competitive prices compared to premium models already available on the market. Although Tesla’s BEVs are top-sellers globally, BYD's Atto 3 was the leading model in Thailand's BEV market. BYD emerged as the top-selling brand of BEVs in Thailand in 2023. In just over a year, the Chinese car producer turned Thailand into its largest overseas market.
Overall, the EV market in Thailand has the potential to grow significantly in the coming years, driven by increasing fuel costs, government incentives, and efforts to reduce air pollution.
Thailand emerges as Southeast Asia’s leading EV market
Thailand is a major hub for the production and assembly of internal combustion engine (ICE) automobiles in Southeast Asia. The manufacturing sector is the main contributor to the country's GDP; therefore, it is crucial for Thailand to maintain its status in the region. While the EV market in the area is still relatively small, Thailand already dominated the Southeast Asian market in terms of sales share in 2022, making it the most significant market for EV automakers in that region. The registration of EVs in Thailand has steadily increased from 2018 to 2023, and it is predicted that by 2025, the value of the EV market in Thailand will almost double.Who will dominate the domestic market?
BEVs produce zero emissions, making them an attractive alternative to traditional gasoline and diesel vehicles. In contrast to BEVs, hybrid electric vehicles (HEVs) still have internal combustion engines in addition to their electric motors. In 2023, consumers were still concerned about insufficient charging stations across the country. However, for the first time, BEVs were more desired for new car purchases than HEVs that year.In order to successfully transition from a country primarily reliant on ICE vehicles to one that primarily uses BEVs, it is important to develop a robust charging infrastructure. In 2023, Chinese original equipment manufacturer BYD released new, moderately priced EV models, providing BEVs at highly competitive prices compared to premium models already available on the market. Although Tesla’s BEVs are top-sellers globally, BYD's Atto 3 was the leading model in Thailand's BEV market. BYD emerged as the top-selling brand of BEVs in Thailand in 2023. In just over a year, the Chinese car producer turned Thailand into its largest overseas market.
Overall, the EV market in Thailand has the potential to grow significantly in the coming years, driven by increasing fuel costs, government incentives, and efforts to reduce air pollution.
