South Korean automaker Hyundai Motor Company will invest 1 billion baht (approximately $28 million) to establish a facility for assembling electric vehicles (EVs) and batteries in Thailand, as announced by the country’s Board of Investment (BOI) on Wednesday.
Currently, Thailand’s rapidly growing EV sector is primarily dominated by Chinese manufacturers, including BYD (Build Your Dreams) and Great Wall Motors, who are using the country as a manufacturing hub for exporting vehicles throughout Southeast Asia.
The Hyundai factory, which will be situated just southeast of Bangkok, is expected to begin production in 2026, according to the BOI statement.
“Thailand’s robust existing supply chain will enable Hyundai to source at least one-third of the raw materials and components it requires from within the country, thereby supporting the local industry,” stated Narit Therdsteerasukdi, BOI secretary general.
EV sales are experiencing significant growth across Southeast Asia, spearheaded by BYD, and are increasingly encroaching on the market traditionally held by internal combustion engine vehicles dominated by Japanese and Korean companies.
In the first quarter, Thailand, as Southeast Asia’s largest automotive manufacturing hub, accounted for 55% of all EV sales in the region, as reported by Counterpoint Research.
