GAC Aion opens its first EV assembly line outside China in Rayong

WEDNESDAY, JULY 17, 2024

Chinese automaker GAC Aion officially opened its electric vehicle (EV) assembly line on Wednesday in Rayong province, its first such facility outside China.

The company said the initiative aligns with its plan to expand into global markets and establish a new production base in Southeast Asia.

The EV assembly plant in Thailand is situated in the Amata City Industrial Estate, within the Eastern Economic Corridor (EEC) project area. Covering a total area of 85,000 square metres, it is operated by Aion Automobile Manufacturing (Thailand) Co Ltd, also known as GAC Aion.

GAC Aion's first overseas plant has been designated as the production base for Southeast Asia. It aims to become a manufacturing and export hub for right-hand drive markets globally. 

Currently, 45% of the components used for assembly are sourced locally.

Built with an investment of around 2.3 billion baht, it has a production capacity of 50,000 vehicles per year. Initially, it will produce 20,000 vehicles per year, with plans to expand production to 70,000 vehicles per year in the future to meet market demand, the company said.

GAC Aion opens its first EV assembly line outside China in Rayong

GAC Aion opens its first EV assembly line outside China in Rayong

GAC Aion is one of the companies participating in the government's EV 3.0 initiative to promote the urgent use of electric vehicles. This programme requires manufacturers to offset imports with local production. If production begins this year, the ratio of local production to import must be 1:1; and 1.5:1 next year. The first model to be produced is the Aion Y Plus, which GAC Aion initially introduced to the Thai market.

Zeng Qinghong, chairman of the GAC Group, said that the opening of the GAC Aion manufacturing plant in Thailand enhances the brand's competitive capability both locally and globally. Currently, GAC Aion operates two factories in China with a combined production capacity of 500,000 vehicles per year, an average annual growth rate of over 120%, and ranks among the top three in the industry in terms of production and sales.

He highlighted that establishing the plant in Thailand would bolster the company's position as a leading alternative energy vehicle manufacturer in the global market. Additionally, GAC Aion plans to create manufacturing and sales bases in seven global regions. The company aims to introduce the latest technologies and products to this plant, reinforcing its commitment to improving sales, distribution, and brand strength.

Aion has outlined six development strategies, including enhancing production capacity, expanding the product line, and defining market strategies for production and nationwide distribution.

GAC Aion opens its first EV assembly line outside China in Rayong

Ocean Ma (Ma Haiyang), managing director of Aion Automobile Manufacturing (Thailand) Co Ltd, highlighted four key strengths of the Rayong plant: advanced technology intelligence, high quality, high efficiency, and environmentally friendly.

He said it had successfully achieved 100% data integration in its comprehensive production process, utilising robots combined with AI technology to ensure defect-free production and real-time adaptability. The Thai factory employs AI-controlled quality management in its manufacturing processes, a technology transferred from GAC Aion’s clean energy vehicle assembly plant in China, he said, adding this Chinese facility is recognised as the first and only factory for new energy vehicle assembly in the world.

GAC Aion opens its first EV assembly line outside China in Rayong