© Reuters.
Thailand revealed Friday that China is planning to establish a China Automotive Technology and Research Center (CATARC) in the region, the fourth such facility in the world.
Tax incentives and subsidies offered by the Thai government have successfully attracted Chinese car manufacturers such as BYD and Great Wall Motor, who have pledged an investment of $1.44 billion in establishing new production facilities in the country.
According to a statement by Thai government spokesperson Chai Wacharonke, CATARC already operates centers in Germany, Switzerland, and Japan with the latest center aimed at supporting Chinese electric vehicle (EV) manufacturers in Thailand.
Thailand aims to move closer to full EV adoption by converting at least a third of its annual 2.5 million cars produced in the region into EVs by 2030. To facilitate this shift, the country is devising incentives aimed at fostering increased investment and the transition toward EV manufacturing.
The current government subsidies, reaching up to 150,000 baht ($4,265) per car, have played a pivotal role in propelling EV adoption in Thailand. As a result, the country accounted for approximately half of all EV sales in Southeast Asia during the second quarter.
