More electric vehicles (EVs) sold in Thailand should be locally manufactured this year as Chinese automakers plan to produce them here from the third quarter, sourcing local materials to support their manufacturing, says the Board of Investment (BoI).
"BYD and GAC Aion will start making EVs in the third and fourth quarters, while Changan Automobile will begin local EV assembly early next year," said Narit Therdsteerasukdi, secretary-general of the BoI.
BYD plans to produce 150,000 EVs annually, while GAC Aion aims to make 50,000 EVs a year in the first phase, according to media reports.
Changan Automobile announced it will produce 100,000 EVs a year and initially manufacture 30,000 to 50,000 battery-run sports utility vehicles.
Great Wall Motor (GWM), Neta and Thai-Chinese joint venture SAIC Motor-CP, the manufacturer of MG cars, have already started production of electric cars in their Thai factories, said Mr Narit.
"We expect the number of EV manufacturers to increase, contributing to the development of EV supply chains for auto parts in the domestic market. This will make Thailand a regional EV production hub," he said.
The BoI is promoting the growth of the EV industry by granting investment incentives to EV-related businesses, including battery production and EV charging facilities.
Over the past 2-3 years, the board supported investments worth 80 billion baht in the electric car industry, with total EV production of 400,000 units, said Mr Narit.
He was speaking at the three-day "BoI Symposium: EV Supply Chain Edition", which ended on Friday. The event included key EV producers from China.
According to the BoI, Chinese EV makers vowed to buy EV components in the country. Local content will account for up to 90% of total EV components.
Chongqing-based Changan Automobile, committing to investment in Thailand of up to 10 billion baht, will start with a local content proportion of 60%, increasing to 90% in the future, said Shen Xinghua, managing director and president of Changan Auto Sales (Thailand).
GWM wants between 80-90% of EV components from local materials, said Michael Chong, general manager of GWM (Thailand).