Thailand: Excise Department introduces ADAS requirements as a new condition for lower EV tax rates

In brief

From 2026, pure battery electric vehicles (BEVs) must be equipped with certain levels of advanced driver-assistance systems (ADAS); otherwise, excise tax rates will be higher.

The Royal Gazette has published several notifications of the Excise Department regarding BEVs recently. These include the "Notification of Excise Department on Rules and Conditions of Energy-Saving Type Electric Powered Passenger Cars or Passenger Cars with 10 Seats or Less" and the "Notification of Excise Department on Rules and Conditions of Electric Powered Pick-up Trucks" ("Notifications"). The Notifications have introduced the ADAS requirements as a new condition to apply lower excise tax rates on BEVs along with detailed requirements on the use of domestically manufactured batteries.


In brief, ADAS are technological features that assist the drivers by using sensors, such as radars and cameras equipped in the vehicle, to provide assistive driving information or, when combined with a set of programs or AI, take specific automatic driving actions in response to the information perceived by the sensors. As discussed in our previous article, a variety of ADAS are being developed and utilized as building blocks for the realization of autonomous vehicles. Not only BEVs, other types of vehicles can also be equipped with ADAS.
According to the public announcement made by the Minister of Finance earlier this year, in order to encourage automakers to equip ADAS in vehicles for higher safety standards, the adoption of ADAS as another criteria to determine excise tax rates was under consideration. The criteria are now clear after the issuance of the Notifications.
Summarized below are the requirements of ADAS to determine excise tax rates for BEVs. 

ADAS prescribed under the Notifications


Advanced emergency braking system (AEB)


Forward vehicle collision warning systems (FCW) 


Lane keeping assistance systems (LKAS) 


Lane departure warning systems (LDW) 


Blind spot detection (BSD) 


Adaptive cruise control (ACC)

Requirements of ADAS

For BEV passenger cars or BEV passenger cars with 10 seats or less:
From 1 January 2026, the vehicles must be equipped with at least 4 out of 6 prescribed ADAS in order to be eligible to the excise tax rate of 2%. Otherwise, the excise tax rate of 10% will apply.
For BEV pick-up trucks:
From 1 January 2026, the vehicles must be equipped with at least 2 out of 6 prescribed ADAS in order to be eligible to the excise tax rate of 2%. Otherwise, the excise tax rate of 10% will apply.

With ADAS, EVs will undoubtedly be safer and more convenient to drive. EV makers who wish to be eligible for lower excise tax rates should prepare to comply with the prescribed conditions.

Copyright © 2024 Baker & McKenzie. All rights reserved. Ownership: This documentation and content (Content) is a proprietary resource owned exclusively by Baker McKenzie (meaning Baker & McKenzie International and its member firms). The Content is protected under international copyright conventions. Use of this Content does not of itself create a contractual relationship, nor any attorney/client relationship, between Baker McKenzie and any person. Non-reliance and exclusion: All Content is for informational purposes only and may not reflect the most current legal and regulatory developments. All summaries of the laws, regulations and practice are subject to change. The Content is not offered as legal or professional advice for any specific matter. It is not intended to be a substitute for reference to (and compliance with) the detailed provisions of applicable laws, rules, regulations or forms. Legal advice should always be sought before taking any action or refraining from taking any action based on any Content. Baker McKenzie and the editors and the contributing authors do not guarantee the accuracy of the Content and expressly disclaim any and all liability to any person in respect of the consequences of anything done or permitted to be done or omitted to be done wholly or partly in reliance upon the whole or any part of the Content. The Content may contain links to external websites and external websites may link to the Content. Baker McKenzie is not responsible for the content or operation of any such external sites and disclaims all liability, howsoever occurring, in respect of the content or operation of any such external websites. Attorney Advertising: This Content may qualify as “Attorney Advertising” requiring notice in some jurisdictions. To the extent that this Content may qualify as Attorney Advertising, PRIOR RESULTS DO NOT GUARANTEE A SIMILAR OUTCOME. Reproduction: Reproduction of reasonable portions of the Content is permitted provided that (i) such reproductions are made available free of charge and for non-commercial purposes, (ii) such reproductions are properly attributed to Baker McKenzie, (iii) the portion of the Content being reproduced is not altered or made available in a manner that modifies the Content or presents the Content being reproduced in a false light and (iv) notice is made to the disclaimers included on the Content. The permission to re-copy does not allow for incorporation of any substantial portion of the Content in any work or publication, whether in hard copy, electronic or any other form or for commercial purposes.