Thailand to set up new SEZ for clean energy

Bangkok - Thailand will establish a special economic zone (SEZ) in Chachoengsao province, east of Bangkok, to support clean energy development, including battery plants, to serve electric vehicle (EV) production, according to Director of the Eastern Economic Corridor (EEC) Office Chula Sukmanop.

He said the new SEZ will resemble an industrial estate, focusing on accommodating investments in batteries, clean energy, and electricity.

Thailand’s burgeoning EV industry was given another boost recently when Toyota announced plans to produce Hilux pickup trucks at two factories in the country.

Domestic sales of battery electric vehicles (BEVs) soared by 603% last year to 73,568 units, driven by government subsidies for purchasers of 70,000 to 150,000 THB (1,900-4,160 USD). The EV adoption trend is expected to continue to increase despite the fact that the government subsidy for buyers this year has been reduced to 50,000-100,000 THB.

Thailand’s Policy Committee will define the boundaries of the zone as well as investment privileges for businesses that set up operations there.

Previously, Thailand has offered investment privileges for investors at the EEC, which is home to several SEZs, including the high-speed rail promotion zone to connect three airports, EECd for digital industry, EECi for innovation, a medical innovation zone, the aviation city zone, a genomics medical zone, and a digital innovation and advanced technology centre in Ban Chang.

VinFast has signed an MoU with 15 Thai dealers at the 2024 Bangkok International Motor Show, taking place from March 27 to April 7.

The Republic of Korea (RoK)’s Ministry of Trade, Industry and Energy (MOTIE) on March 27 announced that it has agreed with Thailand to kick off negotiations on a comprehensive economic partnership, as the North Asian country aims to expand its presence in the Southeast Asian region.