Hyundai to invest $28 million in Thailand for EV assembly, batteries (updated)

Hyundai

07/08/2024 04:42

(Updates with quote and context throughout)
       BANGKOK, Aug 7 (Reuters) - South Korean auto maker
Hyundai Motor Company will invest 1 billion baht ($28 million)
to set up a facility to assemble electric vehicles and batteries
in Thailand, the country's Board of Investment (BOI) said on
Wednesday.
        Thailand's booming EV sector is currently dominated by
Chinese carmakers, including BYD  002594.SZ  and Great Wall
Motors  601633.SS , which are using the country as a
manufacturing base for exporting vehicles across Southeast Asia.
    The Hyundai factory, to be located just southeast of the
capital city of Bangkok, will start production in 2026,
according to a BOI statement.
        "Thailand's strong existing supply chain will allow
Hyundai to source not less than a third of the raw materials and
parts it needs from within Thailand, thus supporting the local
industry," BOI Secretary General Narit Therdsteerasukdi said. 
    Electric vehicle sales are surging across Southeast Asia,
led by BYD, eating into the internal combustion engine car
market dominated by Japanese and Korean firms.
    Thailand, the region's biggest auto manufacturing hub,
accounted for 55% of all Southeast Asia's EV sales in the first
quarter, according to Counterpoint Research.
($1 = 35.6200 baht)

 (Reporting by Chayut Setboonsarng and Devjyot Ghoshal, Editing
by John Mair)
 ((chayut.setboonsarng@tr.com; +66854849033;))