Thailand establishing new SEZ for clean energy, EV battery investments


March 28, 2024

Thailand will establish a special economic zone (SEZ) east of Bangkok to support clean energy development, including battery plants to supply its growing electric vehicle industry, Eastern Economic Corridor Office (EECO) chief Chula Sukmanop said on Wednesday.

“The new special economic zone in Chachoengsao province will resemble an industrial estate, focusing on accommodating investments in batteries, clean energy, and electricity,” said Chula after attending a meeting of the EEC Policy Committeechaired by Commerce Minister and Deputy PM Phumtham Wechayachai.
Thailand’s burgeoning EV industry was handed another boost recently when Toyota announced plans to produce Hilux pickup trucks at two factories in the Kingdom.

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 baht. The upward trend is expected to continue despite reduced buyer subsidies this year of 50,000 to 100,000 baht. The government has approved a total budget of 41 billion baht to support EV production and purchases.

The new zone aims to attract foreign investment from businesses that require clean energy for operations. The Policy Committee will define the boundaries of the zone as well as investment privileges for businesses that set up operations there.

The EEC is already home to several SEZs offering investment privileges. These include 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.

Source: The Nation