Changan Auto selects Thailand as an EV production base

[webfact]

    
BANGKOK (NNT) - Changan Automobile, one of the four biggest automakers in China, has selected Thailand to become a base for electric vehicle production. The company is committing 8.8 billion baht in the first phase of its investment and plans to introduce its EVs in Thailand by year-end.

 

Prime Minister’s Office deputy spokesperson Tipanan Sirichana revealed that the development came about in response to representatives from Thailand’s Board of Investment (BOI) having met the chairman and executives of Changan Automobile in June this year.

 

The Thai delegation presented the growth projection of the electric vehicles market in Thailand and the government’s measures in support of the EV industry. The BOI representatives also assured Changan Auto executives of continuity in Thailand’s EV promotion policies.

 

According to Tipanan, this visit brought about the Chinese government’s approval for Changan Auto to file for investment incentives from the BOI.

 

The automaker will invest about 8.8 billion baht in the first phase, setting up a production base for right-hand-drive electric cars. The initial production capacity will be 100,000 vehicles per year.

 

These vehicles will be sold in Thailand and exported to ASEAN countries, Australia, New Zealand, the United Kingdom, South Africa, and other countries. Changan Auto plans to launch its electric vehicles in Thailand toward the end of this year.

 

The deputy spokesperson added that Changan’s decision to choose Thailand as a production base reflected the confidence investors have in Thailand. In addition to the production base, Changan Auto will be setting up a key research and development center for vehicle parts.

 

Tipanan said this will reinforce the Thai automotive industry’s capacity and relay technological knowledge to Thais.

 

by Namo Vananupong

 

Source: https://thainews.prd.go.th/en/news/detail/TCATG230817090638526

 

-- NNT 2023-08-17

 

- Cigna offers a range of visa-compliant plans that meet the minimum requirement of medical treatment, including COVID-19, up to THB 3m. For more information on all expat health insurance plans click here.

 

Get our Daily Newsletter - Click HERE to subscribe

[retarius]

Good news. Some good, decent paying, jobs, no doubt. If I had a child I would have him learn Chinese.

[Srikcir]

5 hours ago, webfact said:

this visit brought about the Chinese government’s approval for Changan Auto to file for investment incentives from the BOI.

Very fortunate that the Thai government comes to the rescue as China itself faces limited domestic and foreign investment while experiencing lower demand for its exports (as does Thailand). 

Although I wonder how BOI can make such a financial commitment at a time when the Thai government is in caretaker status and is not allowed to make new budget commitments, ie., for FY 2024. Maybe the PTP coalition gave tacit pre-approval assuming it will form the new government before September 2023, but still there are laws.