EV Primus Co, the distributor of China's second largest automaker DFSK (Dongfeng), expects a bustling electric vehicle (EV) industry in Thailand as more Chinese car companies enter the market following the launch of the government's EV incentive package.
The package, approved by the cabinet in February, gives automakers from China an incentive to expand their businesses into Thailand and market their cars in Asean, said Pitaya Tanadamrongsak, managing director of EV Primus.
The incentives, including tax cuts and subsidies ranging from 70,000-150,000 baht depending on the type and model of the vehicles, are aimed at promoting the consumption and production of EVs during 2022-23.
"Chinese automakers are increasingly interested in Thailand and Asean, viewing them as high-potential markets," said Mr Pitaya.
DFSK plans to hold discussions with Finance Minister Arkhom Termpittayapaisith on the details of the incentive package. The company, together with other Chinese car manufacturers, plan to take advantage of the China-Thailand Free Trade Agreement and China-Asean free trade deal to grow their businesses, said Mr Pitaya.
DFSK, a joint venture between Dongfeng and Chongqing Sokon Industry Group, produces micro-vans, flat-bed commercial trucks and passenger vehicles under the Xiaokang brand and sports utility vehicles (SUVs) under the Fengguang and Glory brands. SF Motors, the California-based subsidiary of Chongqing Sokon Industry Group, makes EVs under the Seres brand.
EV Primus plans to import more car brands and EVs, especially in the mini-EV category, aiming to provide more choices to local consumers.
Mr Pitaya said the company set sales targets of 1,000 DFSK cars and 300-400 Seres cars this year. EV Primus is in talks with car dealers, encouraging them to join the DFSK and Seres car network.
"Local dealers have had a good response to more Chinese car brands. This is a good sign for our business expansion," he said.
EV Primus allocated an investment budget of 100 million baht, with 80 million to support projects including service centre and training centre development, with the remainder for showroom expansion for Seres cars, said Mr Pitaya.
