The electrification of Thailand’s transportation industry

All over Thailand the Thai government has invested heavily in the transport infrastructure in building new expressways, roads, and flyovers. Widening existing single, double carriageways to carry more traffic and enable the easier transportation of people, goods and services across the country. 

 

But what of the future, and what can we expect in the years to come from the Thai automobile industry. This is, we hope, the first of a series of articles from EVAT it’s partners and members.

 

Expat Life recently met with Khun Krisda Utamote the President of EVAT (Electric Vehicles Association of Thailand) to find our out more about Thailand’s rapid transition from ICE (internal combustion engines) to EV (electric vehicles), whether that be HEV (hybrid electric vehicles), PHEV (petrol plug-in hybrid electric vehicles), or BEV (battery electric vehicles). 

 

EVAT was established in 2015 has 276 corporate members and 111 individual members and of course is growing rapidly. It’s Its members are at the forefront of technology and experts in every field of the transport industry. According to EVAT, China is foremost in electric car manufacture and has really come into it’s done well to establish its own BEV brands in the last 3 years taking over the industry. If you check You Tube or Google and search for Shanghai Motor Show 2023 you will be amazed at the sheer number of manufacturers and technology coming to the international market. Thailand as a close neighbour to China and a key player in ASEAN will receive many of these vehicles and much of the technology in the years to come. The key German manufacturers are also supplementing their extensive range with some high quality premium PHEV and HEVs.

 

The chart below illustrates the dramatic growth of electric vehicle manufacture and sale from 2017 – 2022.

 

Global Passenger Car Sales 2017 vs 2022 according to qz.com

The chart below shows the sale registration of not just private cars but also motorcycles, buses, trucks, tuk tuk’s. Khun Krisda said that motorcyclists could pull up at a battery swapping charging station. Remove their battery unit, exchange it for a fully charged replacement and be on their way within less than 15 5 minutes, making it an ideal solution for delivery drivers (Grab, etc.,), moto taxis, reducing their downtime to a manageable period – so expect dramatic growth in this sector. One assumes that the tuk tuk’s will benefit from this similar battery exchange too. There is an end in sight for the BMA’s horrible old smoky diesel buses belching out black smoke. As a motorcyclist in Bangkok for the last 10 years – believe me that will be a major drop in the PM 2.5 readings. The new Thai government will have to clamp down hard on trucks, pickup trucks and diesel vehicles.

Status of xEV Accumulated Registration in Thailand according to the EVAT and the Department of Land Transport

The below chart shows the rapid growth in the last two years – 395% in private cars, 170% in motorcycles

BEV Registration Comparison 2021 vs. 2022 according to the EVAT and the Department of Land Transport

To illustrate that this growth has continued to accelerate in 2023 the following chart shows the first quarter sales by brand and just some of their expanding range available in Thailand.

BEV registration ranking by brand. Q1 2023 according to Autolifethailand and the Department of Land Transport

As I am taking delivery of my first BEV on May 23rd I was concerned about Thailand’s installation of charging stations across the country. Khun Krisda reassured me that the Thai government is committed to being amongst the leading countries in the world in providing facilities for electric vehicles and the leading electric car manufacturers all have partners that are installing in shopping malls, fuel stations, hotel complexes, condominium complexes and that this would accelerate over the next two years as the Thai populous is educated to the benefits and requirement in providing these facilities for their guests. He told me that now, guests are asking if the hotel, mall, condo that they are looking to frequent has charging facilities and making that a requirement of their stay. We will see this increase rapidly as the user base continues to grow.

Total Number of Charging Stations in Thailand EV (BEV + PHEV) Ratio to Public Connector at 15:1 according to the EVAT

Thailand has a major problem with the air quality across the country and we have all become acutely aware of it this year with the farmers burning their fields after harvest. With hundreds of thousands of people in hospital with respiratory illnesses.

The current Thai government has been negligent in their response to charge those responsible blaming surrounding countries, discarded cigarette butts starting forest and wasteland fires, instead of taking action against those responsible. I am quite sure that this will become a major issue in the forthcoming elections in Thailand on May 14.

Surely peoples health and wellbeing should be put before major food growers, suppliers and distributors profits and they should seek alternative field clearing policies. But to all those that have had the pleasure of following large lorries, buses and Thai racing boys in their tired, old pickup trucks they will know only too well how important it is to reduce air pollution by seeking cleaner power sources.

I remember when Europe stopped the mining of coal and fossil fuels in the past. This will soon be reduced to a memory of the past.

The following chart shows Thailand’s targets from 2025 and 5 10 year projections from there on.

Thailand’s ZEV targets for all types of vehicles according to the National EV Policy Committee

Whoever wins in the forthcoming elections will I am sure adhere to the Thai cabinet approved guidelines.

Thailand has incentivised its automobile manufacturing sector to follow China’s lead attract new investors in this area and is creating some attractive subsidies to ensure that the industry gets onboard.

The Cabinet approved BEV support schemes according to the EVAT

Similarly Thailand is committed to creating factories to manufacture battery cell production in the country and has currently planning to incentiviseed industry to enter into this business with some very attractive support schemes.

Draft Incentive programme for battery cell production, source https://thainews.prd.go.th/en/news/detail/TCATG230205170148349

Perhaps not so importantas another alternative to increase BEV adoption rates, but it is also encouraging conversion specialists to get involved in the short term to transform some of the existing vehicles on Thailand’s roads.

Opportunities for EV conversion in Thailand

The Thai government is providing the essential education to enable its workforce, and that of tomorrow, to get the training that they need to compete and be qualified in the fast moving transformation of Thailand’s transport system.

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Expat Life in Thailand is a community lifestyle magazine for expatriates (a person who has citizenship in at least one country, but who is living in another country) living in Thailand with an appetite and a zest for the best of life!