Thailand’s Commission on the National Competitiveness Enhancement for Targeted Industries has granted approval for an investment exceeding US$1 billion by Sunwoda Automotive Energy Technology (Thailand) Co., Ltd., a subsidiary of China’s Sunwoda Electronic. The investment is designated for the production of electric vehicle (EV) and energy storage system (ESS) battery cells, aiming to bolster Thailand’s supply chain and support both domestic and export EV manufacturing.
Mr. Narit Therdsteerasukdi, Secretary General of the Thailand Board of Investment, announced the approval during a meeting chaired by Deputy Prime Minister and Minister of Finance, Mr. Pichai Chunhavajira. Established in 2017, the Commission focuses on promoting new industries that enhance the nation’s economic value and competitiveness sustainably.
Sunwoda plans to establish manufacturing facilities within Thailand’s Eastern Economic Corridor, with the initial factory set to be located in Chonburi Province. This facility will focus on producing lithium-ion battery cells tailored for EV manufacturers. Mr. Therdsteerasukdi emphasized the significance of local battery cell production in reinforcing Thailand’s position as a manufacturing hub for EVs and hybrids. He also highlighted the project’s potential to expand ESS and solar energy usage in the country, alongside fostering knowledge transfer by employing thousands of Thai engineers and workers.
Construction of the factory is advancing smoothly, with expectations to employ over 1,000 individuals upon the commencement of production. The project will encompass additional manufacturing operations, research, and product development, necessitating a substantial workforce that includes Thai engineers and researchers.
Sunwoda Automotive Energy Technology (Thailand) is a subsidiary of Sunwoda Electronic Co., Ltd., headquartered in Shenzhen, Guangdong Province, China. The company is known for producing batteries for various electronic devices, mobility solutions, and storage equipment. In 2023, Sunwoda’s SEVB brand led the market in sales of batteries for hybrid electric vehicles (HEVs) and ranked third for high-end EV batteries. This new facility will be Sunwoda’s inaugural EV-related battery cell factory in the ASEAN region.
Thailand has a well-established internal combustion engine (ICE) automotive industry, which ranks 10th globally and first in Southeast Asia by production volumes in 2023. Since 2014, the country has actively promoted electrification through subsidies and tax incentives, attracting significant foreign direct investment in EV and hybrid production. Major Chinese battery electric vehicle (BEV) manufacturers, including BYD, SAIC Motor (MG), Great Wall Motor, Hozon New Energy Automobile (Neta), and GAC Aion, are already producing vehicles in Thailand. The Thai EV ecosystem is expanding rapidly, featuring an increasing network of charging stations and local manufacturing capabilities for chargers and automotive components, as well as the assembly of battery packs from imported cells.
In 2024, investment promotion applications in Thailand surged by 35% in value to 1.14 trillion baht, the highest since 2014. The automotive and parts sector comprised 309 projects valued at a combined 102.4 billion baht.
Source: PR Newswire
