Chinese EV makers take centre stage at Bangkok motor show, to unveil new models (updated)

Isuzu Motors

25/03/2024 09:59

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      China's Zeekr, Xpeng debut at Bangkok Motor Show
    

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      Thailand sees EV production capacity at 100,000 by
year-end
    

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      Japanese manufacturers have long dominated Thai auto
    

  
 (Updates with details on Changan, paragraph 8)
    By Chayut Setboonsarng and Devjyot Ghoshal
       BANGKOK, March 25 (Reuters) - Boosted by strong electric
vehicle sales, Chinese car makers will be in the spotlight at
the Bangkok International Motor Show this week, underscoring the
growing challenge to Japanese auto giants that have long
dominated Thailand's vehicle market.
    Chinese automakers such as Geely's  GEELY.UL  Zeekr and
Xpeng Motors are slated to unveil their latest EVs to Thai
customers as they debut at the Bangkok motor show, a week-long
expo that opens to public on Wednesday.
    On Monday, at a media preview, the EV newcomers showcased
their cars and technology at slick booths shoulder-to-shoulder
with those from market leaders like Toyota Motor  7203.T  that
are household names in Southeast Asia's second-largest economy. 
    Hangzhou-headquartered Zeekr  ZK.N  will launch two EV
models in Thailand in June and open 10 showrooms in the country
this year, as part of a wider expansion in Southeast Asia, Vice
President and Head of Emerging Market Mars Chen said.
    "In the premium segment, there's a lot of room for a new
player like us," he said.
    Zeekr will compete with Chinese companies like BYD
 002594.SZ  and Great Wall Motor  601633.SS  that currently have
the biggest share of Thailand's EV market. 
    Guangzhou-based Xpeng  9868.HK , which is showcasing a
flying drone car at its booth, plans to open five showrooms in
Thailand this year to offer higher-end EVs, said Elsa Zhang,
senior manager for its overseas business.
    Others like Changan Automobile  000625.SZ , a state-owned
carmaker that will start producing EVs at a Thai facility in
early 2025, are targeting the lower end of the market, with a
two-door EV priced at around 500,000 baht ($13,728) that was
launched on Monday. 
    
    HOT COMPETITION
    In all, Chinese automakers have committed to invest more
than $1.44 billion in production facilities in Southeast Asia's
largest auto manufacturing hub. Thailand is looking convert
about 30% of its annual vehicle production into EVs by 2030.
    The expansion by Chinese EV makers in Thailand comes against
the backdrop of intensifying competition at home where car
makers are racing to cut prices.
    In 2023, Thais bought 73,500 battery EVs, or about 9% of
domestic car sales, and that is expected to double by the end of
2024, according a Federation of Thai Industries forecast.
    Local EV production capacity is expected to reach 100,000
cars by the end of 2024 as new facilities, mainly from Chinese
car makers, come online, said FTI's automotive industry
spokesperson, Surapong Paisitpattanapong. 
    Last year, Thailand produced 164 battery EVs.
    "EV sales are rising while ICE vehicles sales are falling,"
Surapong said, referring to internal combustion engine vehicles
and attributing the change to the cheaper EV models. 
    "With that ICE car price, you can get a top EV model from
several brands. Higher gasoline prices are also helping EVs." 
    But market leaders like Toyota, Isuzu Motors  7202.T  and
Honda Motor Co  7267.T  are also working to maintain their grip.
    Major Japanese auto manufacturers are set to invest 150
billion baht ($4.34 billion) in Thailand over five years.
    Isuzu plans to use Thailand as a production base for an
electric version of its D-MAX pickup truck, with an aim to start
exports in 2025, a Thai government spokesperson said last week.

($1 = 36.4200 baht)

    <^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
FOCUS-China-led EV boom in Thailand threatens Japan's grip on
key market     ID:nL4N38M0Z9 
Siblings help China's BYD grab early lead in Thai EV market   
 ID:nL4N3EU20Q 
FOCUS-China's BYD rides on partnerships to expand EV sales in
Southeast Asia     ID:nL4N3AN0SB 
    ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^>
 (Additional reporting by Orathai Orathai Sriring; Editing by
Himani Sarkar, Martin Petty)
 ((chayut.setboonsarng@tr.com; +66854849033;))