680 Billion Investment... "A New Era of Electric Vehicle Manufacturing"
Authorities Launch Investigation into Aggressive Discount Sales
China's leading electric vehicle company BYD completed its factory in Thailand on the 4th (local time) and is accelerating market expansion.
According to major foreign media and local outlets such as the Bangkok Post, BYD has completed its first Southeast Asian factory in the Rayong area, south of Bangkok.
The factory involved an investment of approximately $490 million (about 676.7 billion KRW) and plans to employ around 10,000 people to produce 150,000 vehicles annually. The Thailand factory is expected to serve as a manufacturing base for exports to Southeast Asia and other countries.
The Thai government is providing subsidies and tax benefits to convert 30% of the annual production of 2.5 million vehicles to electric vehicles by 2030. With government support, electric vehicle production and consumption are increasing, and Thailand is emerging as a Southeast Asian electric vehicle hub.
Until now, the Thai automobile market was dominated by Japanese companies, but recently China has been solidifying its position in the electric vehicle sector. According to market research firm Counterpoint Research, BYD's market share in Thailand's electric vehicle market reached 46% in the first quarter of this year.
Wang Chuanfu, chairman of BYD, said, "Thailand has a clear vision for electric vehicles and is entering a new era of automobile manufacturing. We will bring Chinese technology to Thailand."
Along with the start of production, BYD implemented an aggressive price discount policy. Earlier on the 1st, it announced that the Dolphin model would be sold at a discounted price of 140,000 to 160,000 baht (approximately 5.29 million to 6.04 million KRW). The Atto 3 model is discounted by 100,000 to 340,000 baht (approximately 3.78 million to 12.84 million KRW).
Some consumers reportedly expressed dissatisfaction with the aggressive price discounts. They hurried to purchase during the previous discount event because prices were said to rise after the promotion ended, but prices dropped even further. As a result, the Thai Consumer Protection Agency has launched an investigation.
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
