Chinese new energy vehicle (NEV) manufacturer, BYD, is expanding its global footprint by teaming up with French auto parts group, Forvia, to build a state-of-the-art seat assembly plant in Thailand’s Rayong province. The collaboration marks the eighth joint venture between BYD and Forvia, who have already established seven successful factories in China.
The new plant will operate under the banner of Shenzhen Faurecia Automotive Parts Co Ltd, a joint venture formed by BYD and Faurecia in 2017, with Forvia holding a majority stake in the venture. The facility will focus on producing complete seat sets, catering to the growing demand for automotive components in the region.
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Forvia, which completed the acquisition of Hella in February 2022, has been actively expanding its presence in the auto parts industry. The establishment of the seat assembly plant in Thailand is seen as a strategic move to position the country as an export center for the Asia-Pacific region, underscoring its potential to be a significant growth engine for Forvia in the future.
The partnership between BYD and Faurecia dates back to October 2017, when they founded Shenzhen Faurecia and commenced operations in various cities in China. With the recent inauguration of their sixth factory and the milestone achievement of 10,000 seat sets produced, the joint venture’s success has been evident.
BYD has been making strides in the Thai market with the introduction of popular models such as the Dolphin and Atto 3, also known as the Yuan Plus in China. This has resulted in impressive cumulative deliveries of over 15,000 units earlier this year. Furthermore, the company signed a significant land purchase agreement with Thai industrial property developer WHA Industrial Development PLC in September 2022, setting the stage for the construction of an electric passenger car factory with an anticipated annual capacity of 150,000 vehicles. These cars are slated to be exported to various ASEAN countries and Europe, contributing to BYD’s global expansion ambitions.
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The establishment of the new seat assembly plant in Thailand not only highlights BYD’s commitment to strengthening its presence in international markets but also showcases Forvia’s strategic vision in pursuing opportunities in the dynamic automotive industry. With production expected to begin in 2024, the collaboration between these two automotive giants is poised to create a significant impact on the future of sustainable transportation in the region and beyond.
