Japan and Thailand Expose Asia's Electric Vehicle Divide

📡 Nikkei Asia · 1 min read ·
Asia's shift to electric vehicles is not moving at the same speed everywhere. Japan and Thailand show the problem clearly: two major car-producing nations, two very different paths, and one shared struggle to go electric fast enough. Japan built its auto industry on gasoline engines and hybrid cars. Its makers led the world in hybrids, but moved slowly into fully electric cars. The result is a home market where electric vehicles remain a small share of sales. Charging stations are still limited, and prices stay high. Thailand took another route. It offered tax breaks and subsidies to attract electric car makers and buyers. Chinese brands rushed in, and electric sales jumped. But Thailand's older supply chains, built for gasoline cars, now face pressure. Local parts makers and workers worry about the change. Both countries face the same core problem: electrification (switching from fuel-powered engines to battery power) requires new factories, new skills, and new charging networks. That costs time and money. Across Asia, the lesson is the same. Government policy can speed up the shift, but it cannot skip the hard work of rebuilding an industry. Japan and Thailand show how urgent — and how uneven — that race has become.