China’s China Automotive Technology and Research Center (CATARC) is set to open a new facility in Thailand, marking its fourth establishment worldwide. Thai government incentives have successfully attracted major Chinese automakers like BYD and Great Wall Motor, committing a substantial $1.44 billion investment in new production facilities within the country.
CATARC, a Chinese government-affiliated auto research institute with existing centers in Germany, Switzerland, and Japan, is extending its reach to facilitate Chinese electric vehicle (EV) manufacturers in Thailand, according to a statement from Thai government spokesperson Chai Wacharonke.
Thailand, the largest car producer and exporter in Southeast Asia, has traditionally been dominated by Japanese manufacturers such as Toyota Motor Corp and Isuzu Motors. With a goal to convert approximately one-third of its annual 2.5 million vehicle production into EVs by 2030, the Thai government is actively working on providing incentives to attract more investments and support the transition to EV manufacturing.
Current government subsidies, reaching up to 150,000 baht ($4,265) per car, have played a crucial role in driving the adoption of electric vehicles in Thailand. The country accounted for about half of all EV sales in Southeast Asia during the second quarter.
In a notable development, Thai Prime Minister Srettha Thavisin recently showcased an industrial estate to executives from Tesla, indicating potential investment opportunities in the region.
