Aion Hyper GT. Courtesy: Wikipedia

 

In a decisive move to bolster its automotive supply chain, Thailand’s Industry Ministry has asked Chinese electric vehicle (EV) manufacturers to integrate at least 40% locally-sourced parts in their production processes.

 

The aim is to bring more benefit to Thai auto parts makers and ensure they can keep pace with the rapidly evolving automotive technology.

 

Following a series of discussions, GAC Aion New Energy Automobile, part of the Guangzhou Automobile Corporation (GAC), has committed to using 40% of local content in their EVs. This is seen as a significant commitment that other EV manufacturers might follow.

 

Pimphattra Wichaikul, Thailand's Industry Minister, emphasised the importance of supporting local auto parts manufacturers who have predominantly focused on components for internal combustion engines (ICE). She highlighted the needed shift towards electric mobility technology. “We are keen to ensure local parts makers can adapt to these technological changes,” reported Bangkok Post.

 

To this end, the Board of Investment (BoI) has engaged with multiple Chinese EV firms to encourage the use of Thai-made auto parts. Narit Therdsteerasukd, secretary-general of the BoI, reported promising developments, stating, “Most Chinese EV makers have agreed with the government’s request. This is a good sign."

 

Specific commitments have already been made by various companies. Chongqing-based Changan Automobile plans to start with 60% local content, aiming to increase this to 90%. Neta, aiming for 60% initially, plans to push this to 85% in time. Great Wall Motor targets 80-90% local content. Meanwhile, BTD and GAC Aion both pledged over 40% local parts in their EVs.

 

This initiative aligns with Thailand's broader strategy to incentivise the EV industry, having already backed investments worth 80 billion baht over the past 2-3 years. These investments are expected to result in the production of 400,000 EV units. The BoI is also promoting further growth in the sector, offering incentives for battery production and EV charging facilities.

 

However, Wichaikul assured that traditional ICE manufacturers, along with hybrid and plug-in hybrid EV producers, will not be neglected, as they too have played a vital role in Thailand’s automotive landscape for over a decade.

 

Top picture:  Aion Hyper GT. Courtesy: Wikipedia

 

-- 2024-07-23

 

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

 

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The high speed trains into Thailand from China were not built to be a joint exercise in trade between the two countries.

 

They are designed to flood cheap products from China into Thailand. Not the other way round. The trade deficit with China will continue to widen. 

 

China have done this to all most countries nearby. 

i am surprised. the car in the op looks pretty good... then again one has to be careful of appearances.

 

uncle xi is not going to be happy about this. as many countries in the west are starting to make it more difficult for china to export its products by imposing certain tariffs and taxes thailand was seen as a way out with its friendly openness towards china

China only cares about one thing, China, not sure Thailand understands this yet.

5 minutes ago, lordgrinz said:

China only cares about one thing, China, not sure Thailand understands this yet.

 

The filthy rich people do understand this but they don't care, have got their paybacks already.

4 hours ago, webfact said:

 Aion Hyper GT. Courtesy: Wikipedia

 

In a decisive move to bolster its automotive supply chain, Thailand’s Industry Ministry has asked Chinese electric vehicle (EV) manufacturers to integrate at least 40% locally-sourced parts in their production processes.

 

The aim is to bring more benefit to Thai auto parts makers and ensure they can keep pace with the rapidly evolving automotive technology.

 

Following a series of discussions, GAC Aion New Energy Automobile, part of the Guangzhou Automobile Corporation (GAC), has committed to using 40% of local content in their EVs. This is seen as a significant commitment that other EV manufacturers might follow.

 

Pimphattra Wichaikul, Thailand's Industry Minister, emphasised the importance of supporting local auto parts manufacturers who have predominantly focused on components for internal combustion engines (ICE). She highlighted the needed shift towards electric mobility technology. “We are keen to ensure local parts makers can adapt to these technological changes,” reported Bangkok Post.

 

 

To this end, the Board of Investment (BoI) has engaged with multiple Chinese EV firms to encourage the use of Thai-made auto parts. Narit Therdsteerasukd, secretary-general of the BoI, reported promising developments, stating, “Most Chinese EV makers have agreed with the government’s request. This is a good sign."

 

Specific commitments have already been made by various companies. Chongqing-based Changan Automobile plans to start with 60% local content, aiming to increase this to 90%. Neta, aiming for 60% initially, plans to push this to 85% in time. Great Wall Motor targets 80-90% local content. Meanwhile, BTD and GAC Aion both pledged over 40% local parts in their EVs.

 

This initiative aligns with Thailand's broader strategy to incentivise the EV industry, having already backed investments worth 80 billion baht over the past 2-3 years. These investments are expected to result in the production of 400,000 EV units. The BoI is also promoting further growth in the sector, offering incentives for battery production and EV charging facilities.

 

However, Wichaikul assured that traditional ICE manufacturers, along with hybrid and plug-in hybrid EV producers, will not be neglected, as they too have played a vital role in Thailand’s automotive landscape for over a decade.

 

Top picture:  Aion Hyper GT. Courtesy: Wikipedia

 

-- 2024-07-23

 

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

 

Get our Daily Newsletter - Click HERE to subscribe

That's something that should have been written in the contract.

local parts? to be sure it has to be replaced next year economy ?

Does the Minister mean, parts manufactured in Thailand, at a Chinese-owned factory, with Chinese-sourced materials, by migrant/Chinese workers?

China is doing what China CCP does best... beat the rest of the world at their own game.

4 hours ago, lordgrinz said:

China only cares about one thing, China, not sure Thailand understands this yet.

 

you can use that statement for nearly every other country: thailand, usa, japan, germany, russia, etc.

10 hours ago, hotchilli said:

China is doing what China CCP does best... beat the rest of the world at their own game.

 

When China proposed the bullet train route into Thailand, you can imagine naive leaders delighted at the proposals, and China paying for it too. 

 

Little did they know the true motives is to push cheap crap into Thailand. Not the other way round. 

5 hours ago, DonniePeverley said:

 

When China proposed the bullet train route into Thailand, you can imagine naive leaders delighted at the proposals, and China paying for it too. 

 

Little did they know the true motives is to push cheap crap into Thailand. Not the other way round. 

Goes for the whole Chinese belt and road initiative into any impoverished country that will take them in.