Thailand scores another deal to become EV production hub for SE Asia
- Hozon Auto will manufacture NETA V model for SE Asia in Thailand
- BYD and Chang’an Automobile also invested in EV production facilities in the country
- The nation plans to have 30% car sales to be EV by 2030
The Chinese all-electric vehicle maker, Hozon New Energy Automobile Co. Ltd. has reportedly announced its plan to manufacture EVs for the Southeast Asia market in Thailand. The company becomes latest in the list of carmakers setting up production plant in the nation.
As per the statement issued by Thailand government spokesperson, Tipanan Sirichana, Hozon entered into an agreement with Bangkok-based Bangchan General Assembly Co. Ltd. this week to start making NETA V model, which is scheduled for the local market in 2024.
Hozon launched NETA V model for Thailand last year along with its first showroom. It is speculated that the company will launch more variants like NETA U and NETA S to the offerings for the SE Asia market in the future.
Apparently, booming passenger EV demand in Southeast Asia is stiffening the competition in Thailand. The nation become was foremost to announce cash subsidies for imported passenger e-vehicles, which are also exempt from import & excise duties till 2023 end.
As Thailand has an extensive supply chain feeding for scores of factories that produce IC engine cars, many EV makers are investing in the local plants. It is fourth-largest autos assembly & export hub in Asia for automobile manufacturers like Toyota and Honda.
Other Chinese automakers have also earmarked Thailand for their production. Recently, BYD Co. Ltd. invested in Thai plants to meet consumer demands. Likewise, Chang’an Automobile Co. Ltd. declared to invest USD 285 million in a production facility in the nation.
As per the trusted sources, Thailand had cited that the nation aims to have 30% car sales to be electric by 2030 in order to achieve the pledge of carbon neutrality by 2050 and net zero emissions by 2065.
Source Credit: https://www.reuters.com/business/autos-transportation/chinas-hozon-produce-evs-thailand-southeast-asian-market-2023-05-06/