© Reuters. FILE PHOTO: A Toyota EV automotive is seen on the Bangkok International Motor Show in Bangkok, Thailand, March 30, 2022. REUTERS/Soe Zeya Tun/File Photo
BANGKOK (Reuters) – Major Japanese auto producers will make investments 150 billion baht ($4.34 billion) in Thailand over the following 5 years, a Thai authorities spokesperson stated on Monday, supporting the Southeast Asian nation’s transition to creating electrical autos.
Toyota Motor (NYSE:) and Honda (NYSE:) Motor will make investments about 50 billion baht every, whereas Isuzu Motors will make investments 30 billion baht and Mitsubishi Motors (OTC:) 20 billion baht, spokesperson Chai Wacharoke stated, including this would come with the manufacturing of electrical pickup vehicles.
Thailand’s Prime Minister Srettha Thavisin concluded a visit to Japan final week.
Southeast Asia’s second-largest economic system is the biggest automotive producer and exporter within the area. Japanese producers have dominated the Thai auto sector for many years, however Chinese EV makers have lately been making giant investments.
The funding by the Japanese automakers will help the federal government’s coverage of transitioning from combustion engine autos to EVs, Chai stated.
Toyota, Honda, Isuzu and Mitsubishi didn’t reply instantly to requests for remark.
Thailand is aiming to transform a couple of third of its annual manufacturing of two.5 million autos into EVs by 2030 and is making ready incentives to encourage extra funding and conversion into EV manufacturing.
Tax cuts and subsidies rolled out by Thailand have already drawn a raft of Chinese carmakers, together with BYD (SZ:) and Great Wall Motor, which have dedicated to investing $1.44 billion in new manufacturing services within the nation.
Srettha this month confirmed executives from U.S. EV maker Tesla (NASDAQ:) industrial estates in Thailand for potential funding.
($1 = 34.5800 baht)
