Bangkok (VNA) – Thailand’s government is preparing to launch a car trade-in scheme later this year to encourage motorists to switch to electric and hybrid vehicles, as part of efforts to promote environmentally friendly transport.
According to a source from the Finance Ministry cited on April 17, the programme is currently under discussion, with the aim of accelerating the adoption of low-emission vehicles while managing the transition away from older cars. In its initial phase, the scheme will be limited due to budget constraints and to test systems for handling scrapped vehicles.
The programme will be implemented in multiple phases starting this year, with no fixed end date. Under proposed criteria, eligible new vehicles must meet two key requirements: low carbon emissions in line with the country’s excise tax structure and domestic production to support local industry, employment and investment.
Subsidies will be channelled to car manufacturers on the condition that they are passed directly to consumers through price reductions.
In addition, the Government Savings Bank will provide soft loans worth 5 billion THB (approximately 137 million USD). Individuals can borrow up to 2 million THB at interest rates capped at 3.5% during the first one to two years.
The loans will be available for purchasing electric cars or motorcycles, with applications to be open until March 31, 2027./.
