BANGKOK, May 6 (Reuters) – China’s Hozon New Energy Automobile will make electric vehicles in Thailand for the Southeast Asian market, a Thai official said on Saturday, as it follows others in building facilities in the region’s major auto production hub.
Hozon signed an agreement with Thailand’s Bangchan General Assembly this week to start production of its NETA V model, expected in 2024, Thai government spokesperson Tipanan Sirichana said in a statement.
The EV maker launched its NETA V model in the Thai market last year and planned to start offering its NETA U and NETA S models in the near future, Tipanan said.
Other Chinese EV makers like BYD (002594.SZ) have also invested in Thai plants as demand heats up among domestic consumers choosing from brands like Great Wall Motors and Tesla. (TSLA.O)
Last month, a Thai official said China’s Changan Auto (000625.SZ) would invest $285 million in a facility in Thailand.
Thailand is Asia’s fourth-largest autos assembly and export hub for carmakers like Toyota (7203.T) and Honda (7267.T).
The country aims to become a key player in the global EV supply chain outside of China by offering tax cuts and subsidies to drive EV adoption and production.
It has set a target that 30% of domestic auto production be EVs by 2030.
Reporting by Panarat Thepgumpanat; Writing by Orathai Sriring; Editing by Conor Humphries