Chinese automaker BYD opened its first electric vehicle factory in Thailand on Thursday as part of its push into Southeast Asia and into wealthy markets in the United States and Europe.
The factory’s opening comes on the same day the European Union is expected to begin imposing higher tariffs on Chinese-made electric vehicles amid concerns about competition from cheaper imports.
In the United States, the Biden administration will also increase tariffs on Chinese electric vehicles from the current 25% to 100%. The United States currently imports very few Chinese cars but, like the European Commission, is concerned that subsidies will hurt domestic businesses and cost jobs.
The new factory in Rayong, south of Bangkok, was built in just 16 months and has an annual production capacity of 150,000 vehicles. It makes several BYD models as well as batteries and gearboxes. Thursday’s opening was held with great fanfare, including the presentation of a BYD Dolphin, a compact hatchback, to a charitable foundation sponsored by the Thai royal family.
The company said the car is the 8 millionth vehicle BYD has produced.
Thailand aims to have 30% of all cars produced in the country be electric by 2030. One is made by BYD.
BYD, which stands for “Build Your Dreams,” sold 3 million vehicles last year and exports more than tripled to 243,000. In the first half of this year, the company sold 1.6 million electric vehicles.
The company sold 30,650 electric vehicles in Thailand last year and plans to produce the Dolphin, Atto 3, Seal and Sealion 6 electric vehicle models at its new factory.
BYD said the new factory is expected to create 10,000 jobs. In addition to Thailand and China, BYD has or is building factories in Brazil, Hungary and Uzbekistan.
According to BYD, the Dolphin can travel 490 kilometers (about 300 miles) on a single charge. At the recent auto show in Bangkok, the model on display was priced at 859,999 baht ($23,700), although reports suggest that BYD will offer deep discounts on vehicles produced at its new factory in Thailand.
