BOI eyes Saudi Arabia investors for Thai EV sector
Thailand has recently held detailed discussions with Saudi Arabia regarding economic cooperation and investments in various sectors.
The collaboration includes efforts to drive the electric vehicle (EV) industry, a sector in which Saudi Arabia is committed, according to the Board of Investment (BOI) secretary general Narit Therdsteerasukdi, who is also a member and secretary of the National Electric Vehicle Policy Board (EV Board).
In the past, the Saudi Arabia Public Investment Fund (PIF) announced investments in two significant EV companies, joining forces with Taiwan’s Foxconn to develop and produce a local EV brand called Ceer. PIF has also partnered with BMW to incorporate innovations and EV-related technologies in this brand. The goal is to manufacture and deliver EVs to customers by 2025.
PIF has additionally acquired over 60% of shares in Lucid Motors, a US-based EV company, to establish an EV production facility in King Abdullah Economic City. During the discussions between the two countries, Thailand invited Saudi Arabia to expand its EV investments by suggesting Thailand as a manufacturing base to export EVs to the ASEAN region. Similarly, Saudi Arabia encouraged Thai entrepreneurs to explore opportunities in the Saudi market, particularly in the automotive and EV-related sectors.
Narit noted that Thailand’s EV promotion measures have received positive responses from consumers and global manufacturers. From 2022 to 2023, Thailand's EV 3.0 support measures attracted 13 brands from 15 companies, covering electric cars, electric pickups, and electric motorcycles. By 2024, at least six companies are expected to start EV production in Thailand to replace imports.
In the first nine months of this year, Thailand registered 50,340 new electric vehicles, a 7.6-fold increase compared to the same period last year. The total investment in the EV industry in Thailand, which began in 2017, amounts to 61.42 billion baht. The Federation of Thai Industries (FTI) reported that as of September 30, there were 99,736 registered battery electric vehicles (BEVs), representing a 305.93% increase over 2022.
These discussions and collaborations indicate a significant step forward in economic cooperation between Thailand and Saudi Arabia, focusing both on the EV industry and related sectors.
