As part of its policy to promote investment and the ease of doing business, the Thailand Board of Investment (BOI) has joined forces with other Government agencies and the private sector to facilitate large investments by GAC Aion New Energy Automobile, or GAC AION, a leading Chinese electric vehicle (EV) manufacturer, looking to setup production operations in Thailand as a base for the ASEAN region.

The BOI, together with the Excise Department, the Customs Department, the Office of Industrial Economics (OIE), the Department of Business Development, the Department of Land Transport, the Industrial Estate Authority of Thailand (IEAT) and the Thai Subcontracting Promotion Association (Thai SUBCON), held yesterday a meeting with a team of visiting executives from GAC AION, one of China’s leading EV makers, to coordinate and facilitate the administrative process required to implement the company’s planned investment.

GAC AION recently announced its entry in the Thai market and its readiness to invest over 6 billion baht to establish manufacturing and sales operations in Thailand.

Mr. Narit Therdsteerasukdi, Secretary General of the BOI said that the Thai Government has a policy to promote Thailand as a major production hub for EV and parts. The BOI has issued comprehensive promotional measures for investment in the sector, while the Ministry of Finance, through the Excise Tax Department and the Customs Department, is offering incentives to boost the domestic EV market.

“The meeting held on July 6 is part of the BOI’s important role as an integrator, coordinating with relevant Government agencies and the private sector to provide comprehensive information to investors in the form of a ‘one-stop service’ demonstrating Thailand's readiness to help investors setup operations and do business in Thailand,” said Mr. Narit.

During the meeting, GAC AION was provided with a wide range of information about Thailand’s laws and regulations relating to EV manufacturing, the benefits and incentives offered to investors by various agencies, the registration process to establish a company in Thailand, and the availability of subcontractors and service providers already operating in the country.

The officials also detailed the current incentives offered to EV manufacturers setting operations in Thailand under the set of measures called “EV 3.0,” and the new incentive package, “EV 3.5”, that is expected to take effect next year.

GAC AION has appointed Mr. Ma Haiyang, as the leader of GAC AION Thailand project and run its operations in the country. The company is preparing to build a factory in Thailand, Mr. Ma said after the meeting held at the BOI.

“We would like to thank the BOI for organizing the meeting with all relevant agencies to initiate the discussion and the investment project. We are very impressed by the support from the Government agencies. This makes us feel confident and allows investors like AION to do business with ease and to start operations quickly,” Mr. Ma said.

GAC Aion New Energy Automobile Co., Ltd. is the third largest seller of EV in China. The company is focusing on research and production of intelligent electric vehicles and has developed its own integrated supply chain, including its own battery technology. The company also leads a development of its “Intelligent Connected Vehicles: ICV” platform, which includes smart battery system that support up to 1,000 km driving range, assisted and autonomous driving system, smart automated production system etc. In addition, GAC also claims its place in the High-end Luxury Supercar sector, with its range of hypercars, which can achieve 100 km under 1.9 seconds.

Under its new 5-Year Investment Promotion Strategy (2023-2027), the BOI has broadened its role from that of a ‘Promoter’ providing tax and non-tax benefits, to focus on becoming an ‘Integrator’ of investment support tools, a ‘Facilitator’ providing services and a ‘Connector’ linking industries to create more business opportunities.