Omoda & Jaecoo (Thailand) Co, a subsidiary of Chery Automobile, a Chinese state-owned electric vehicle manufacturer, plans to build an EV factory in Rayong, with production scheduled to start next year.
The plant, which will initially produce cars to serve the domestic and Asean markets, is set to become the company's export base, selling cars worldwide, said Qi Jie, vice-managing director for South Asia at Chery International Co.
The company plans to export cars in the future to countries in Oceania and the Middle East.
"We plan to divide our manufacturing into two phases. In the first phase, which starts in 2025, annual production capacity will stand at 50,000 units. The number will increase to 80,000 units a year in 2028," he said.
"Our BEVs will make up 70% of total car production, with the remaining 30% belonging in the PHEV category," said Mr Qi.
He believes Thailand has great potential to develop an EV industry, thanks to the government's EV3.5 scheme.
Mr Qi was referring to the country's EV incentive scheme, which comprises subsidies and a reduction in import duties and excise tax to promote EV production and consumption between 2024 and 2027.
The Prayut Chan-o-cha administration launched the first-phase of the EV incentive scheme known as EV3.0, comprising tax cuts and subsidies. This scheme aimed to promote EV consumption and production between 2022 and 2023.
Omoda & Jaecoo is considering an investment budget to support its EV business in Thailand. The funds are required for the purchase of land, factory construction and the development of EV charging facilities.
Its parent company is expected to conclude the investment details in April, said Mr Qi.
Omoda & Jaecoo has set a sales target for the Omoda EV5 and Jaecoo7 at 6,000 units this year.
Pichayuth Vongpattanasin, vice-president for sales and marketing at Omoda & Jaecoo (Thailand), said the firm plans to set up 35 showrooms, with 20 of them to be located in Bangkok.
The firm is also in talks with local partners to jointly develop EV charging facilities.