Chinese electric vehicle maker Changan Automobile expects to produce 10,000 battery EVs at its factory in Rayong this year, paving the way for exports in 2026.
“Thailand’s BEV [battery EV] market is growing faster than the internal combustion engine segment, driven by government EV incentive packages, rising environmental awareness, competitive pricing, and effective marketing campaigns,” said Shen Xinghua, managing director of Changan Auto Southeast Asia, a subsidiary of the Chongqing-based firm.
The manufacturing plant in Thailand will serve as a production base for right-hand drive vehicles, catering to both domestic and export markets, he said.
Changan plans to export BEVs to international markets, with a focus on the UK, Australia and Nepal. The company aims to export over 1,000 units in 2026, primarily the DEEPAL S05 model.
Under the company’s plan, the Rayong plant is expected to produce 40,000-50,000 vehicles in 2026, with 50% designated for export and 50% for the domestic market.
Mr Shen has asked the National Electric Vehicle Policy Committee to ease BEV production requirements for companies joining the state’s two EV incentive schemes, which grant tax cuts and subsidies to companies importing BEVs for sale in Thailand.
The two schemes — EV3.0 and EV3.5 — require manufacturers to produce EVs locally to compensate for vehicles they have imported since the start of the EV subsidy programmes in 2022 prior to commencing local production.
This has become an uphill task for companies as they may not meet the requirements due to the stagnant car market.
Under EV3.0, companies that started producing BEVs in 2024 are committed to a 1:1 ratio target, meaning they must produce one BEV domestically for every EV they import.
If commencing production in 2025, the ratio is set at 1.5 locally produced BEV for each imported BEV. The ratios are set at 1:2 and 1:3 for manufacturers under the EV3.5 programme, which is aimed at propelling EV industry growth between 2024 and 2027.
Mr Shen wants the committee to relax these time frames, giving EV makers more time to compensate for imported vehicles.