On August 23, Thai company KGEN and Chinese car manufacturer Chery Automobile Group signed a cooperation agreement at the Athenee Hotel in Bangkok. This partnership marks a major step forward for Thailand’s electric vehicle industry.
According to the agreement, KGEN and Chery will jointly invest over 5 billion Thai Baht (about 1 billion RMB) to create a modern electric vehicle manufacturing facility. The factory will focus on research, production, and sales of electric vehicles. Initially, it will produce 50,000 vehicles per year, with a goal to increase production to 80,000 vehicles annually by 2028. This project will boost Thailand’s electric vehicle industry and help establish the country as a key player in the global electric vehicle supply chain.
The Thai government has welcomed this collaboration. Supamas, Thailand's Minister of Higher Education, Science, Research, and Innovation, stated, "The rise of the electric vehicle industry is crucial for Thailand’s economic transformation. We believe this partnership will bring technological innovation, job creation, and industry upgrades, helping Thailand secure a place in the global electric vehicle market."
KGEN, the first publicly listed Thai company to partner with a global car giant to build an electric vehicle factory, holds a 60% stake in the project. KGEN CEO Pantip emphasized, "This partnership represents a significant leap for Thailand’s electric vehicle industry. We aim to drive technology transfer, talent development, and industry upgrades, injecting new vitality into the electric vehicle market in Thailand and Southeast Asia."
Chery Automobile Group, a leader in the Chinese automotive industry, will provide strong support with its international experience and advanced technology. Chen, a representative from Chery, said, "We are confident in the Thai government’s electric vehicle policies and believe Thailand will become a key hub for Southeast Asia’s electric vehicle industry. Our collaboration with KGEN is an important part of our global strategy, and together we will advance Thailand’s electric vehicle industry and offer higher-quality, eco-friendly travel options to global consumers."
The new factory will begin production in stages. The first phase will focus on electric vehicles under the JAECOO brand, expected to launch in 2025. The factory will then expand production, aiming to produce 80,000 OMODA brand electric vehicles annually by 2028. These vehicles will not only meet domestic demand but will also be exported to Southeast Asia, Australia, the Middle East, and beyond, further strengthening Thailand's position as an electric vehicle manufacturing hub.
The collaboration between KGEN and Chery is a significant milestone for Thailand’s electric vehicle industry and a successful example of deepening cooperation between China and Thailand in the field of new energy vehicles. As the partnership progresses, Thailand’s electric vehicle sector is set to achieve greater success and contribute more to global green transportation with "Thai wisdom" and "Chinese strength."
