On July 4, 2024, China’s BYD opened its first electric vehicle (EV) factory in Southeast Asia’s fast-growing regional electric vehicle market in Rayong, Thailand.
Charlene Tirasupa | Reuters
China’s BYD On Thursday, the company opened an electric vehicle factory in Thailand, the automaker’s first in Southeast Asia. leader.
BYD CEO and President Wang Chuanfu said at the opening ceremony: “Thailand has a clear vision for electric vehicles and is entering a new era of automobile manufacturing.” “We will bring Chinese technology to Thailand.”
BYD factory is investment wave With the help of government subsidies and tax incentives, Chinese electric vehicle manufacturers have built factories in Thailand worth more than $1.44 billion.
Hong Kong-listed shares of BYD, the world’s largest electric car maker, rose 1.6% to HK$235 after hitting a one-week high.
Thailand is a regional vehicle assembly and export hub long dominated by Japanese automakers such as Toyota Automotive, Honda Motor Company and Isuzu Motors.
According to government plans, the country aims to convert 30% of its annual production of 2.5 million vehicles to electric vehicles by 2030.
“BYD is using Thailand as a production hub for exports to many other countries in the Association of Southeast Asian Nations,” said Narit Therdsteerasukdi, secretary-general of Thailand’s Board of Investment, referring to the group of 10 Southeast Asian countries.
As part of its overseas expansion, BYD is building its first The European production base is located in Hungary.
The BYD plant will be operational within three years and will produce electric vehicles and plug-in hybrids for the European market, where the European Commission is producing electric vehicles and plug-in hybrids. levy tariffs The proportion of electric vehicles made in China is as high as nearly 38%.
BYD’s China-made electric vehicles will incur tariffs of about 17%.
Huge Thai facilities, announced two years ago Valued at $490 million, it produces 150,000 vehicles annually, including plug-in hybrids.
The factory’s production of right-hand-drive electric vehicles could potentially allow BYD to circumvent EU tariffs that apply to cars made in China.
“We will also assemble batteries and other important parts here,” said Liu Xueliang, general manager of BYD’s Asia-Pacific region.
Thailand is BYD’s largest overseas market, accounting for 46% of the country’s electric vehicle market in the first quarter, making it the third largest market in the passenger car sector, according to research firm Counterpoint.
Other EV competitors in the local market include Great Wall Motorswhich also has production facilities in Thailand and the U.S. automaker Tesla.
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