Chery Setting up Factory in Thailand

Chery will establish a manufacturing plant in Thailand for both local and export use, according to an official announcement made by the Board of Investment (BoI) of Thailand. It is anticipated that the facility will start producing EVs and hybrids in 2025 and produce 50,000 units in that year alone. By 2028, production is expected to reach 80,000 units annually.

Chery will be the 8th automaker from China to set up a manufacturing plant in Thailand, joining names such as BYD, Great Wall Motor (GWM), Hozon Auto (Neta), SAIC (MG), GAC Aion, and Changan, among others.

Chery Thai boi

Automakers in China have invested over US$1.44 billion in the ASEAN automotive hub due to its tax benefits and subsidies for electric vehicles (EVs), as reported by Reuters. By 2030, Thailand wants to switch to EVs for roughly one-third of the 2.5 million cars it produces annually. According to Qi Jie, vice-managing director for South Asia at Chery International:

“We plan to divide our manufacturing into two phases. In the first phase, which starts in 2025, annual production capacity will stand at 50,000 units. The number will increase to 80,000 units a year in 2028. Our BEVs will make up 70% of total car production, with the remaining 30% belonging to the PHEV category.”

Qi added that he believes Thailand has great potential to develop an EV industry thanks to the government’s EV3.5 scheme that comprises various incentives & subsidies and a reduction in import duties and excise tax to promote electric vehicle production and purchase from 2024 to 2027.

Related: Thailand Witnessed an EV Boom in 2023

Besides Chery, the Chinese brand is also pushing its Omoda and Jaecoo brands in the kingdom which are currently being offered as CBUs. The Thai plant once completed will cater to all Chery, Omoda, and Jaecoo-branded vehicles in Thailand.

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