Korea’s Kia woos Thailand over new EV facility, sources say
Thailand is also in talks with Tesla over a new facility that could include EV and battery production
05 March 2024 - 12:49
byPanu Wongcha-Um and Devjyot Ghoshal
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
A Kia EV5 electric vehicle is displayed at the Kia EV Day event in Yeoju, South Korea, on October 10, 2023. Picture: REUTERS/HEEKYONG
Bangkok — South Korean car maker Kia is in talks with Thailand to build an electric vehicle (EV) facility in the Southeast Asian country, two government sources said on March 5, as the latter bids to be a top EV maker in the region.
Discussions are ongoing and focused on incentives sought by the carmaker from the Thai government, said the sources, who declined to be named as they were not authorised to speak on the matter.
“They have a serious proposal that they’ve come with,” one of the sources said, referring to Kia. “The ball is in their court.”
Kia and Thailand’s Board of Investment (BOI) did not immediately respond to questions from Reuters.
BOI had said in January 2024 that Kia was considering an investment in Thailand after media reports said the Korean firm had decided against it.
Southeast Asia’s largest car producer and exporter, Thailand has rolled out incentives, tax breaks and other measures to position itself as a regional frontrunner for EV production.
Thailand is separately also in talks with Tesla over a new facility that could include EV and battery production, an official said on March 4.
The country aims to convert about 30% of its annual production of 2.5-million vehicles into EVs by 2030, according to a government plan.
The Thai vehicle market, long monopolised by Japanese carmakers like Toyota Motors and Honda Motor, has drawn more than $1.44bn in investment commitments from Chinese EV makers to build production facilities.
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
Korea’s Kia woos Thailand over new EV facility, sources say
Thailand is also in talks with Tesla over a new facility that could include EV and battery production
Bangkok — South Korean car maker Kia is in talks with Thailand to build an electric vehicle (EV) facility in the Southeast Asian country, two government sources said on March 5, as the latter bids to be a top EV maker in the region.
Discussions are ongoing and focused on incentives sought by the carmaker from the Thai government, said the sources, who declined to be named as they were not authorised to speak on the matter.
“They have a serious proposal that they’ve come with,” one of the sources said, referring to Kia. “The ball is in their court.”
Kia and Thailand’s Board of Investment (BOI) did not immediately respond to questions from Reuters.
BOI had said in January 2024 that Kia was considering an investment in Thailand after media reports said the Korean firm had decided against it.
Southeast Asia’s largest car producer and exporter, Thailand has rolled out incentives, tax breaks and other measures to position itself as a regional frontrunner for EV production.
Thailand is separately also in talks with Tesla over a new facility that could include EV and battery production, an official said on March 4.
The country aims to convert about 30% of its annual production of 2.5-million vehicles into EVs by 2030, according to a government plan.
The Thai vehicle market, long monopolised by Japanese carmakers like Toyota Motors and Honda Motor, has drawn more than $1.44bn in investment commitments from Chinese EV makers to build production facilities.
Reuters
China’s GAC Motor to become newest car brand in SA
These were SA's top selling cars and bakkies in 2023
These were SA’s best-selling cars in December as sales end 2023 on a low
Hyundai and Kia introduce innovative snow driving tyres
Toyota tops auto rankings in best 100 global brands
Kia Sportage entry models get diesel power exclusively
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Most Read
Related Articles
These were SA's top selling cars and bakkies in 2023
Hyundai and Kia introduce innovative snow driving tyres
Kia Sportage entry models get diesel power exclusively
These are SA’s seven most popular SUVs — and why you buy them
Published by Arena Holdings and distributed with the Financial Mail on the last Thursday of every month except December and January.