Car buyers in Thailand are furious after a Chinese electric vehicle company cut their prices by up to 160,000 baht, causing people who bought electric cars earlier show their dissatisfaction on social media.
The year-long study trip of a local family shows how popular electric vehicles (EVs) are becoming. Friends who have used electric vehicles (EVs) and the promise of cheaper gas were both factors, but a recent ad from the car company sealed the deal.
“I pay 30,000 baht a month for gas for my car that I drive to work.” My brother, who drives an electric car, told me I should buy a new electric car with the gas money I save. “There are also discounts of more than 100,000 baht,” a customer who bought an EV at the car show told TNA.
A dealer for a well-known Chinese electric vehicle (EV) thinks that the electric vehicle’s growing fame, as well as actions taken by the government to promote them and word of mouth from real users, have helped customers trust the EV and made it easier for them to decide to buy.
Especially with the recent sale that gave savings of more than 160,000 baht and was only available for one week. This sped up the decision-making process for customers. “Sales of electric vehicle’s were steady before.” But when the discount drive started last week, it made more people aware of the business.
Interest in Electric Vehicles
People came to look at electric vehicls and learn. Customers rushed to book and make choices because there were only a few cars available, said Nattakul Pingklachai, Managing Director of Hi-Class Bangkok Co., Ltd., a BYD car store. Price cuts clearly help customers because they save money on rising fuel costs every month.
Experts say that this price drop is due to a number of factors, including lower battery costs due to a drop in lithium prices around the world and BYD’s plan to open a plant in Rayong, Thailand, as agreed upon by the Thai government on July 4. Because of this, the lower price is good for marketing.
Most of Thailand’s electric vehicles (EVs) come from China, and their sales are through the roof, while sales of fuel-powered cars made in Thailand are falling.
The number of electric vehicles registered rose by more than 31% in the first five months of this year, to 43,921. At the same time, Thailand’s production of vehicles, mostly gas-powered ones, fell by almost 17%, to 644,951.
Because of this, some automakers have shut down factories and cut back on production. This has affected the supply chain, affecting factories that make parts and factories that make raw materials, which has affected workers.
Detroit of Southeast Asia
With EV promotion policies like Policy 3.0 and 3.5, which include subsidies and lower import taxes for EVs, the government knows that the technological transition period may have some effect. However, the country also has to make 1.5 to 2 times the volume of sales.
They think that Thailand will continue to be an important place in the world for making cars in the long run.
“We want EV makers to join us while the market is still not big enough to make it profitable.” We’re not taking in taxes. We will help them for a short time.
Costs of making things have gone down a lot, and batteries are now almost half the size they used to be. “The parts will come back when the economic scale is reached,” said Pichai Chunhavajira, who is the Deputy Prime Minister and Minister of Finance.
The spokesman for the automotive group of the Federation of Thai Industries, Surapong Paisitpattanapong, also said that the drop in Thai car production isn’t just because of EVs coming out on the market, but also because of problems in the country’s economy.
There are issues with the economy, like GDP growth being slower than planned, problems with household debt, and banks limiting credit. Truck sales have dropped by more than 170,000 units in the last fifteen months. He asks the Bank of Thailand to loosen its rules on credit control.
“From what I’ve seen, the general credit requirements for borrowers haven’t changed.” However, the quality of applicants has gone down, which has led to more loan rejects, according to Piti Disyatat, Assistant Governor of the Bank of Thailand.
People who got EVs in the past now feel bad about it because they paid more for them. Some people feel better by saying that they save money on gas by going earlier, but many people are starting to put off their purchases and may even cancel their plans because they think it will be cheaper to buy later.
Source: TNA
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