It is nicknamed the “Asian Detroit”, in reference to the city in Michigan, mother of the trio Ford, General Motors and Chrysler (Stellantis).
Although Thailand, the second largest economy in Southeast Asia, has not seen the birth of a large automobile group, it has become the regional production center: 2.5 million vehicles are produced each year from around twenty factories, thanks in particular to the presence of the Japanese Toyota, Honda and Isuzu.
Thailand, the world’s eleventh largest producer in the sector, does not intend to miss the shift to electric. Its objective: to produce 30% electric vehicles in 2030. The government has taken out the checkbook to attract foreign investors, mainly Chinese: Neta, Great Wall Motors, Chang’an Automobile, Hozon New Energy Automobile, GAC Aion and even BYD. The latter, leader of the Thai market, inaugurated a factory in July capable of manufacturing 150,000 vehicles per year and promises 10,000 jobs. Rumor has it that the country is also courting Tesla.
If everything is not rosy – aging working population, rising energy prices, Japanese manufacturers in difficulty who will close sites -, these investments allow Thailand to project itself economically and attract suppliers. According to the local bank Krungsri, the country has nearly 750 national (Thai Summit Auto Parts, Sammitr Autopart, Thai Auto Pressparts) and global (Bosch, ZF, Michelin, Continental) Tier 1 equipment manufacturers, and twice as many minor subcontractors. . In July, the Franco-German Forvia inaugurated a seat factory there. At the start of the year, the Chinese Svolt started assembling batteries and BMW plans to do the same in 2025. The only downside: the absence of a solid gigafactory project.
Source: www.usinenouvelle.com
