Hyundai invests $28 Million in Thailand to build EV batteries and assemble EVs

The Board of Investment of Thailand (BOI), a government agency, announced on Wednesday that Hyundai Motor Company of South Korea will invest one billion baht to build a factory in Thailand to manufacture electric vehicles and battery packs.

Thailand's booming EV industry is currently dominated mainly by Chinese automakers. These include BYD Motors and Great Wall Motors. They use Thailand as a base to manufacture vehicles for export across Southeast Asia.

A BOI announcement said that the Hyundai factory will begin production in 2026. It is located to the southeast of Bangkok's capital.

BOI's Secretary General Narit Tehrdsteerasukdi stated that "Thailand’s existing strong supply chain allows Hyundai to source at least a third the raw materials, parts and components it requires from Thailand. This will support the local industry."

BYD is leading the surge in electric vehicle sales across Southeast Asia. This has a direct impact on the market for internal combustion engines, which are dominated by Japanese, Korean and Japanese firms.

According to Counterpoint Research, Thailand, Southeast Asia's largest auto manufacturing hub, was responsible for 55 percent of EV sales during the first quarter. $1 = 35,6200 Baht (Reporting and editing by John Mair; Chayut setboonsarng & Devjyot ghoshal)

(source: Reuters)