Changan starts NEV production in Thailand: A milestone for the region!
Changan starts NEV production in Thailand: A milestone for the region!
Rayong, Thailand - On May 16, 2025, Changan Automobile reached a significant milestone by recording production in its first NEV production facility in Rayong, Thailand. The 28.59 millionth vehicle, a Deepal S05 with right-wing steering, was produced with this new system. This market launch is an essential step in the transition of product exports to industrial globalization and marks the beginning of a new era for Changan and the Thai automotive market. The Thai Prime Minister Paetongtarn Shinawatra supported the company's local activities, which are part of the 50th anniversary of diplomatic relationships between China and Thailand.
The production facility in Rayong extends over an area of around 960,000 square meters and has a planned annual production capacity of 100,000 vehicles. This capacity is to be doubled by 2027, which also creates 30,000 new jobs and the local tax revenue is to be increased. The factory combines modern, sustainable technologies, including photovoltaics and rainwater recycling to increase efficiency and reduce CO2 emissions. In accordance with the strategy "In Thailand, for Thailand", Changan is planning the introduction of up to 12 new energy products in the next three years.
focus on electric vehicles and local innovation
The introduction of the Deepal models in Thailand is particularly important because it is the first marketing of Deepal electric vehicles (EVS) in Southeast Asia. The official start of sales of these models took place on November 29, 2024 at a car show in Thailand and in the first 45 hours 6,452 pre -orders were registered for the Deepal S07 and the Deepal L07. The prices of these models are 1,399,000 (about $ 40,177) for the S07 and THB 1,329,000 for the L07, which underlines the attractiveness of the models on the Thai market. These vehicles are marketed in China as Deepal S7 and Deepal SL03.
Changan has already introduced seven models in Thailand since November 2023, including the Deepal S07 and AVATR 11, with over 14,000 units sold. The company plans to update its digital service platform in Thailand and to expand AI-supported functions, which is supposed to drive the digital transformation in the automotive industry.
challenges of the Thai automotive industry
However,Thailand's automotive industry faces major challenges. The market value of the sector is 2.1 trillion baht, which corresponds to 11 % of the country's gross domestic product (GDP). However, the transition to electric vehicles could have serious effects on employment because forecasts indicate that up to 100,000 employees could be released. These challenges are up to 15 % between 2025 and 2026 in the context of a forecast decline in Thai automotive production, with an associated annual production forecast of 1.47 to 1.53 million units.
Society will probably have to adapt its skills and job profiles to enable the transition to digital and green technologies. An initiative between the Japanese Ministry of Economics, Trade and Industry and the International Working Organization (ILO) has already identified five key instruments to support the changeover and to alleviate the effects on the employees. These measures could be crucial to secure the competitiveness of the Thai automotive industry in the long term.
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