Honda Wants Thailand To Change Policies For 'Fair Competition'

8 hours ago

Honda Wants Thailand To Change Policies For 'Fair Competition'

Honda Thailand wants the government there to change their policy around cars imported from Japan.

During the recent launch of the Honda Super-ONE EV in Thailand, Honda Automobile (Thailand) President and CEO Koji Iwanami issued a clear policy appeal to the Thai government. Speaking on behalf of the brand and aligning with five other Japanese automakers via the Japanese Chamber of Commerce, Bangkok (JCC), Honda called for a review of vehicle import duties and a recalibration of upcoming excise tax timelines on hybrid electric vehicles (HEVs).

The plea highlights the mounting pressure legacy Japanese carmakers face across Southeast Asia as heavily subsidized battery electric vehicles (BEVs) and range-extended electric vehicles (REEVs)—primarily from China—benefit from bilateral zero-tariff policies under free trade frameworks.

The Core Issues: Import Tariffs, Hybrid Taxes, and Plant Constraints

Honda’s position centers on several operational bottlenecks and tax disparities in Thailand:

Arguments Supporting Honda’s Position

Advocates for Honda and the Japanese Chamber of Commerce highlight practical market considerations:

Arguments Against Honda’s Position

Critics and proponents of rapid electric transformation present contrasting counterarguments:

Strategic Outlook for Southeast Asian Automotive Hubs

The policy debate in Thailand reflects broader dynamics across the ASEAN automotive corridor, including Malaysia and Indonesia. As regional governments balance foreign direct investment (FDI) from incoming EV makers against the legacy investments of Japanese brands, policymakers face a difficult balancing act: accelerating green mobility adoption while safeguarding local automotive manufacturing ecosystems.

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