Currently, electric vehicles (EVs) are gaining significant popularity in Thailand. The government has provided incentives, such as reductions in EV-related taxes, which has led to a substantial increase in the availability of electric vehicles in the Thai market. However, some consumers remain concerned about battery maintenance and whether there will be sufficient service centers in the future to address potential battery issues.
For investors interested in establishing electric vehicle battery service centers in Thailand, the Thailand Board of Investment (BOI) offers investment promotion for this type of business. The promoted project is subject to the following conditions:
7.4.1 Service centers for repairing used electric vehicle batteries
Conditions;
1. Investment promotion is not applicable to the lead-acid battery group.
2. Electric vehicles or battery manufacturers must certify the quality and safety of their products.
3. Project must have procedures for testing the performance and safety of batteries, as approved by the BOI.
4. Project must have salary expenditures for engineers and technicians at least 1,500,000 baht per year, which must be for the new employment. In addition, the project must have a capital investment of at least 1,000,000 baht (excluding the costs of land and working capital, and vehicles). The salary expenditure and the capital investment must comply with the criteria prescribed by the BOI and be calculated exclusively for the project applying for promotion.
5. Project must be certified to ISO 14000 environmental management system standard before exercising corporate income tax exemption incentives. If the corporate income tax exemption incentives are not exercised, the project must be certified to the mentioned standards before the full operation deadline.
7.4.2 Service centers for repacking or reusing electric vehicle batteries and/or energy storage systems.
Conditions;
1. Project must manage electric vehicle batteries (excluding the product group of lead-acid batteries) and/or energy storage systems that are no longer in use and must originate in the country only.
2. Project must have procedures for installing a battery management system (BMS) and testing the performance and safety of batteries.
3. Project must be certified to ISO 14000 environmental management system standard, before exercising corporate income tax exemption incentives. If the corporate income tax exemption incentives are not exercised, the project must be certified to the mentioned standard before the full operation deadline.
Incentives
- Exemption of Corporate Income Tax for 3 years with cap
- Exemption of import duties on machinery
- Exemption of import duties on raw materials used in R&D
- Exemption of import duties on raw materials used in production for export
- Non-tax incentives
- Visa and work permit
- Land ownership in Thailand
- Others
If you are looking to open Electric Vehicle Battery Service Centers in Thailand, Thai Lawyers can help you with company registration and obtaining licenses for your business.