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Electric Vehicles in ASEAN: Total Cost of Ownership, Externalities, and Strategies for Sustainable Development

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  • Economic Research Institute for ASEAN and East Asia (ERIA)
  • Economic Research Institute for ASEAN and East Asia (ERIA)

Abstract

This report examines ASEAN’s potential to emerge as a regional hub for the production and adoption of battery electric vehicles (BEVs), with a focus on the sustainability of the supporting ecosystems. It analyses the role of total cost of ownership in determining the competitiveness of BEVs relative to conventional vehicles, alongside the need to reduce lifecycle carbon emissions and address negative externalities associated with the value chain, including those arising from nickel mining. The study also highlights the critical importance of charging infrastructure deployment and power system readiness in enabling large-scale BEV adoption. At a broader level, the report explores how regional production networks and supply chains must be developed and coordinated to support the electric vehicle transition. It further assesses the role of government strategies and policy interventions in guiding investment, fostering technological upgrading, and aligning industrial, energy, and environmental objectives. The findings underscore that coherent and forward-looking policy frameworks are essential for building resilient and sustainable electric vehicle ecosystems in ASEAN.

Suggested Citation

  • Economic Research Institute for ASEAN and East Asia (ERIA) & Economic Research Institute for ASEAN and East Asia (ERIA), 2026. "Electric Vehicles in ASEAN: Total Cost of Ownership, Externalities, and Strategies for Sustainable Development," Books, Economic Research Institute for ASEAN and East Asia (ERIA), number 2026-RPR-07, October.
    • Handle: RePEc:era:eriabk:2026-rpr-07
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