PRAN BURI : The Board of Investment (BoI) is scheduled to approve criteria today for the second phase of the eco-car project, requiring each car maker to invest at least 6.5 billion baht in making small, clean vehicles.
Chokdee Kaewsang, the BoI's deputy secretary-general, said existing eco-car makers and newcomers have expressed intentions to create new versions of eco-cars, including Japan's Nissan Motor.
For the second phase, car makers are required to spend 6.5 billion baht in the manufacturing of eco-cars, compared with 5 billion baht in the first phase launched in 2007.
An eco-car can emit no more than 100 grammes of carbon dioxide per kilometre, down from 120 grammes for existing models.
The minimum capacity for approved models is set at 100,000 units a year within five years of production. Excise tax for an eco-car is 14%, compared with the normal 17% rate, while those compatible with E85 can enjoy a 12% rate, said Mr Chokdee.
The first phase of eco-cars attracted investment of 50 billion baht and makers such as Nissan, Mitsubishi and Toyota.
"The government has listed the small fuel-efficient car project among policies to spur economic growth, as the economy is experiencing the slowdown," said Mr Chokdee, referring to a cabinet announcement earlier this month.
In addition, parliament has agreed to let Thailand enter free-trade talks with the European Union. This will help draw direct investment from major European investors.
In the first seven months, the BoI received 1,192 investment applications worth 664.2 billion baht, the total value up 29% from the same period of 2012.