Latest news with #ElectricVehicleAssociationofThailand
Malaysia Sun
3 days ago
- Automotive
- Malaysia Sun
Chinese automakers drive green mobility in Thailand, says Thai expert
A Thai auto industry expert has highlighted China's world-class expertise in EV technology, particularly in battery systems and industrial-scale manufacturing, which is complemented by Thailand's geographic advantages, skilled labor, and robust government support. BANGKOK, July 20 (Xinhua) -- The growing presence of Chinese automakers in Thailand has marked a crucial milestone in collaborative efforts toward green mobility and deepening of ties with China, a Thai auto industry expert has said. Suroj Sangsnit, president of the Electric Vehicle Association of Thailand (EVAT), described the partnership as a testament to the systematic development of electric vehicle ecosystem and a strategic step toward advancing shared environmental goals. In a recent interview with Xinhua, Suroj highlighted China's world-class expertise in EV technology, particularly in battery systems and industrial-scale manufacturing, which is complemented by Thailand's geographic advantages, skilled labor, and robust government support. This synergy, he said, enables both countries to collaborate across the entire EV value chain, from vehicle production and infrastructure development to battery recycling. The arrival of Chinese manufacturers, offering "advanced technology, accessible prices, and swift product deployment," has made EVs more attainable for the average Thai consumer, fostering wider adoption, he said. That has also spurred investment in infrastructure such as charging stations, battery repair services, EV maintenance education, and parts manufacturing, he noted. In the first half of 2025, new registrations of pure electric passenger vehicles in Thailand increased nearly 35 percent over the same period last year, reaching 55,708 units, of which Chinese brands accounted for almost 90 percent, official data showed. Over the past few years, several Chinese automakers have established production facilities in Thailand, significantly bolstering the Southeast Asian country's ambition to become a regional electric mobility hub. Suroj underscored the EVAT's role in fostering regional integration within the Association of Southeast Asian Nations by creating a network with its counterparts. He noted that the goal is to develop common standards and enable cross-border infrastructure, such as charging roaming. Suroj emphasized that EV cooperation will be a cornerstone of future cooperation. He envisioned collaborative efforts in technologies, including solid-state batteries, intelligent EV platforms, and battery recycling solutions, with the establishment of joint research and development centers in Thailand.
Yahoo
31-01-2025
- Automotive
- Yahoo
Thai EV output set to jump, sparking a price war in a bruised market
By Chayut Setboonsarng BANGKOK - Thailand is bracing for an extended EV price war triggered by a surge in local production from Chinese car makers, a move likely to deal a further blow to a domestic auto industry already struggling with tumbling sales, industry experts said. Electric vehicle sales in Thailand, Southeast Asia's largest EV market, are forecast to jump 40% this year, exceeding 100,000 units and reversing a 8% drop in sales last year, Suroj Sangsnit, president of Electric Vehicle Association of Thailand (EVAT), told Reuters. The expected surge in sales is largely because of a national incentive programme that requires local production of 1.5 vehicles for each imported vehicle between 2022 and 2023 for companies to qualify for tax breaks - and to avoid paying hefty penalties. The programme, which also includes price subsidies of up to 150,000 baht ($4,400), helped Southeast Asia's second-largest economy become the region's biggest EV market, which registered 70,000 new EVs last year. It imported about 84,000 EVs between 2022 and 2023. But it now threatens to intensify bruising price competition in a weak market where auto sales are slumping because of tight credit conditions and ballooning household debt, analysts said. Great Wall Motor for January, dropped the price of its Ora Good Cat as much as 270,000 baht, while GAC AION lopped 166,000 baht off the price tag of its AION Y Plus. Both are Chinese companies. "Price wars will be prolonged, aggressive, and more widespread," said Siam Commercial Bank (SCB) Economic Intelligence Unit senior analyst Tita Phekanonth, adding that there also could be discounts for internal combustion engine vehicles. Thailand, a major auto production hub in Asia, exports about three-fifths of locally manufactured vehicles. The Board of Investment (BOI), which anchored the incentive programme, changed some of the rules in December - extending a battery production timeline and offering incentives for hybrids - to ease concerns of oversupply and a price war. BOI chief Narit Therdsteerasukdi told Reuters that EV companies would start exporting this year as well, potentially easing oversupply. "They are not restricted to right or left-hand drive either," he said, pointing out that Chinese carmakers were producing both EV variants in Thailand. "Other markets like Indonesia have also seen investment from (China's) BYD and Neta," said Hathaiwal Tungkaterakul, a senior researcher at Kasikornbank, and those companies' EV exports compete with Thailand's. Thai auto production dropped for the 17th consecutive month in December because of weak demand at home and abroad. Vehicle exports fell 8.8% in 2024, while domestic sales plunged 26%, the lowest in 15 years. OVERSUPPLY CONCERN Drawn by subsidies and tax incentives aimed at converting 30% of its annual auto production to EVs by 2030, Thailand, whose auto sector had long been dominated by Japanese firms, has seen a flurry of Chinese EV investment in recent years. China's BYD, Great Wall Motor and others have poured more than 102.7 billion baht ($3 billion) into the country, according to EVAT. BYD, Great Wall Motor, Changan and GAC AION, which launched their facilities in Thailand last year, did not respond to a Reuters request for comment on their strategies ahead of potential EV price cuts. Carmakers failing to meet the local production requirements could face up to 400,000 baht ($11,806) per car in penalties and fees, said EVAT's Suroj, who is also the executive vice president of SAIC Motor-CP, a joint venture of China's SAIC Motor and Thailand's CP Group. "It will be competitive," said Suroj, adding that locally produced vehicles will only qualify for subsidies if they are sold this year, after which government support will cease. BYD has already come under government scrutiny for deep discounts of up to 340,000 baht per EV. The biggest EV seller in the country was cleared of wrongdoing by a consumer watchdog last year. ($1 = 33.6600 baht) Sign in to access your portfolio
